Tuesday, September 8, 2009

Hummer Moves Forward




The Phantom called from his lofty perch in the puzzle palace to advise me that some Hummer manufacturing and parts contracts have hit a snag in the Tengzhong discussions over the last few days as well as technicalities with the Chinese government and wording for the Ministry of Commerce (Bloomberg) . Discussions about the future of the AM General H1 (not part of the deal with Tengzhong) and H2 are also ongoing and "far from finalized". The Phantom says to expect production to start on the new H2 in February of 2010. Although he remains "cautiously optimistic" he feels the last minute negotiating for a "better deal by Tengzhong" could put the Hummer brand in the hands of the second place bidder, "if they still want it." Who the second place bidder was for Hummer remains a tightly guarded secret, even by The Phantom. He tells me 318 2010 Hummer H3s are currently in production in Shreveport, LA for export to Mexico, Canada and South America. Production of the H3 will be centralized in Shreveport, to include the left and right hand drive models. The HX/H4 has great global potential and we should see it come from the drawing board to the driveway in the future - this vehicle is not just a concept/ show car.

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