China’s planning agency is likely to reject a Chinese company’s bid to acquire General Motors Corp.’s Hummer unit, in part because its gas-guzzling vehicles conflict with Beijing’s conservation goals, state radio reported.
The National Development and Reform Commission is also likely to say Sichuan Tengzhong Heavy Industrial Machinery Corp., a maker of construction machinery, lacks expertise to run Hummer, China National Radio said late Thursday. It cited no source.
Tengzhong said it has yet to reach a definitive agreement with GM, which the company said previously was required to make a formal request for government approval of the deal.
“Some people may have views and speculation but the Chinese government has a process that we respect,” said a company statement. “We do not yet have a definitive agreement, but are developing our proposals with GM and Hummer and we will continue to engage with the appropriate authorities in an appropriate manner.”
Employees who answered the phone at the NDRC referred questions to its foreign affairs office, where calls were not answered.
Posts Tagged “National Development and Reform Commission”
Jun 26 2009