GM to Cease Hummer Brand After Sale to Chinese Company Fails

After General Motors failed to sell its Hummer SUV line of vehicles to China's Sichuan Tengzhong Heavy Industrial Machinery Co., the company announced Wednesday that it will shutter Hummer. GM has unsuccessfully been trying to unload the Hummer brand for more than a year now.

GM and Sichuan Tengzhong Heavy Industrial Machinery had been planning to close a $150 million deal in January, but the sale was delayed while the two companies awaited approval by the Chinese government. Now, the deal is dead in the water.

John Smith, GM's vice president of corporate planning and alliances said:

"We are disappointed that the deal with Tengzhong could not be completed," John Smith, GM vice president of corporate planning and alliances. GM will now work closely with Hummer employees, dealers and suppliers to wind down the business in an orderly and responsible manner."

While Hummer will cease to exist in the very near future, GM will contiue to honor Hummer warranties and provide service and parts for the SUVs.