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GM to halt Hummer production until Chinese deal done

15 January 2010 11:17 (UTC +04:00)

Baku. Nijat Mustafayev â€“ APA-Economics. General Motors plans to halt production of Hummer H3 models at its Shreveport plant in Louisiana until the sale of the brand to China’s Tengzhong Heavy Industrial Machinery Company closes.

According to Automotive News, GM will resume building the H3 and H3 SUT after Chinese regulators approve the sale to Sichuan-based Tengzhong, a maker of construction and industrial equipment. The Shreveport plant is slated to build the H3 for Tengzhong through 2011, with a one-year option beyond that, the paper said.

GM has said it plans to close the Shreveport plant after 2011.

AM General, the creator of the original Hummer H1 and its predecessor, the military HUMVEE, quit building the Hummer H2 at its plant in Mishawaka, Indiana, in late 2008. Automotive News said H2 production also would resume after the deal with Tengzhong is closed.

The paper reported that Hummer has 2,100 unsold vehicles in inventory, amounting to more than six months’ supply.