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Selling Hummer to China: Good riddance!
There is indeed a national security issue raised by selling this ex-military brand to China. But it's not the U.S. that faces a threat from this boat anchor of a brand.
Thu, Jun 04 2009 at 10:25 AM
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The Hummer: China-bound. (Credit: GM)
Item: The New York Times reports that Chinese company Sichuan Tengzhong Heavy Industry Machinery Company is buying the Hummer brand for, it is estimated, something less than $500 million. “Derek Scissors, a research fellow at the Heritage Foundation, said that the Obama Administration should review the Hummer sale on national security grounds to make sure that no sensitive technology from the Hummer is transferred to China.”
Let me get this straight. Does Mr. Scissors (possibly related to Edward Scissorhands?) really think that there’s a security issue with H3 Hummers, which bear only the most superficial resemblance to the militarized H1 that the company doesn’t even make anymore? When I get a response from Mr. Scissors I'll post it here.
In fact, there is a national security issue, and the Hummer is indeed a grave threat — to China. Acquiring this boat anchor of a brand could severely hurt the Chinese economy, not to mention its already very stressed air quality. The Chinese oil import bill will soar, distracting political leaders from meddling in international conflicts. Defense Secretary Robert Gates should send a thank-you note.
Even Arnold Schwarzenegger, whose Hummer-love inspired GM to acquire the brand, doesn't seem to be shedding any tears about all this. Here's what he had to say:
The Chinese themselves may not actually buy many Hummers, though it won’t be because they’re not popular (the Cadillac Escalade is much coveted over there). The big hurdle is the 40 percent tax that China wisely imposes on humongous SUVs with engines over four liters.
This is the first time a Chinese company has agreed to buy a popular American brand, and it’s a welcome counter to the usual one-way flow of capital. If all goes well we might have some other nameplates for them: GM is planning to simply kill Pontiac, but the Indian head mascot could fly again on the other side of the world. Lincoln and Mercury are probably headed for oblivion, too, but would look good cruising Beijing and Shanghai. And even some defunct models could be reborn. If they like the Escalade and the Hummer, they’d love the Ford Excursion.
(MNN homepage photo: Chictype/iStockphoto)
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Best I know this didnt happen for them selling chevy parts to china
Hummer, the controversial brand that General Motors refused to try and discharge after the price of gasoline began to shoot through the ceiling, has been subject of a lot of headlines. Hummer was among the first brands that GM cialis slated for culling after the recession began, with Saturn and Pontiac close behind, but unlike other companies that were simply shuttered, Hummer was able to secure a buyer.