GM puts brakes on Hummer production

2010_hummer_h3t.top.jpgHummer H3Tby Peter Valdes-Dapena, senior writer


NEW YORK (CNNMoney.com) -- General Motors has suspended production of Hummer vehicles pending Chinese government approval of its deal to sell the unit to Sichuan Tengzhong Heavy Industrial Machinery Co., a GM spokesman said Thursday.

The H3 and H3T, the last two Hummer models still being made, are produced at GM's Shreveport, La., factory. The factory, which also makes the GMC Canyon and Chevrolet Colorado pick-ups, will stay open. The plant employs 1,120 people and no layoffs are planned.

6 cars worth waiting for
If you're considering a new car, keep these upcoming models, just unveiled at the Detroit Auto Show, in mind.

GM sold 325 Hummers last month and there are about 2,100 of the trucks still in dealer inventories, "enough inventory to get dealers through the point in time when the deal is done," GM spokesman Nick Richards said.

There is still no indication of when, exactly, that might happen, Richards said.

"We're assuming this happens within the early part of this year," he said.

Sales have suffered, in particular, because of consumer uncertainty about the brand's fate, said Richards, and the fact that GM has not been advertising it.

GM finalized its deal to sell 80% of the Hummer brand to Sichuan Tengzhong Heavy Industrial Machinery Co. of China in October. The Chinese government still must approve the deal.

The remaing 20% is being sold to a private investor.

GM stopped producing the larger Hummer H2 SUV in 2008. To top of page

Frontline troops push for solar energy
The U.S. Marines are testing renewable energy technologies like solar to reduce costs and casualties associated with fossil fuels. Play
25 Best Places to find rich singles
Looking for Mr. or Ms. Moneybags? Hunt down the perfect mate in these wealthy cities, which are brimming with unattached professionals. More
Fun festivals: Twins to mustard to pirates!
You'll see double in Twinsburg, Ohio, and Ketchup lovers should beware in Middleton, WI. Here's some of the best and strangest town festivals. Play
Find Your Next Car
Index Last Change % Change
Dow 17,730.11 -27.80 -0.16%
Nasdaq 5,009.21 -3.91 -0.08%
S&P 500 2,076.78 -0.64 -0.03%
Treasuries 2.39 -0.02 -1.03%
Data as of 9:06am ET
Company Price Change % Change
Bank of America Corp... 17.03 0.00 0.00%
Apple Inc 126.44 0.00 0.00%
Intel Corp 30.56 0.00 0.00%
Micron Technology In... 19.07 0.00 0.00%
General Electric Co 26.78 0.00 0.00%
Data as of Jul 2
Sponsors

Sections

A federal appeals court judge sent two cases lodged by unpaid interns back to a lower court. More

Entrepreneur Guillaume Gauthereau is on a mission to build a 50 to a 100 acre sanctuary in New York to provide refuge to honey bees. More

The most expensive schools in the nation are charging close to $50,000 a year in tuition and fees alone. More