GM announces preliminary agreement to sell HUMMER

Today GM has announced that it has entered into a memorandum of understanding (MoU) with a buyer for HUMMER and if everything goes according to plan the sale will be closed by the end of third quarter of this year. Though GM hasn’t released any details on the potential buyer, Associated Press and The New York Times report that this could be Sichuan Tengzhong Heavy Industrial Machinery Co., a Chinese company that has not built passenger vehicles before.
According to the press release, the new owner has plans to aggressively fund future HUMMER products, which means more than 3,000 jobs in manufacturing, engineering and dealerships will be saved. “HUMMER is a strong brand,” said Troy Clarke, President of GM North America. “I’m confident that HUMMER will thrive globally under its new ownership. And for GM, this sale continues to accelerate the reinvention of GM into a leaner, more focused, and more cost-competitive automaker.”