When it was apparent to General Motors that its Hummer brand was presenting problems, it turned to the head of its Cadillac division, Jim Taylor, and assigned him to prepare it for possible spin off.Now GM is selling it to a Chinese company, Sichuan Tengzhong Heavy Industrial Machinery Company Ltd.
Recently, Taylor was questioned by the Detroit Bureau. He explained that the Chinese company purchased the division because it saw potential profit in the brand. “We’re peddling an asset capable of turning a profit,” he said. When asked about the future of Hummer and what sort of products will be offered by the brand, he explained that it will be focused on complying with CAFE standards. This will mean that the vehicles will be smaller and more fuel efficient. We could even see an electric or hybrid-electric Hummer in the not-to-distant future.
Taylor noted that the H3 will continue to be made in a GM plant in Shreveport, Louisiana during a “transition period.” According to the agreement, the vehicle will be manufactured there until at least the end of 2010. After that, Sichuan Tengzhong could continue to have the vehicle manufactured in Shreveport under the current conditions, could possibly buy the plant, or take on some other alternative. Taylor states the Chinese automaker intends to be “very hands-off” in its management of Hummer. Headquarters for Hummer will remain in the U.S. but it is not certain that means Michigan.
Taylor also said that Hummer will continue to offer the H2 due to the international demand for the vehicle.