BEIJING -- General Motors declined to comment last week on reports that its deal to sell Hummer to a Chinese construction machinery maker could be in trouble.
The purchase of Hummer by Sichuan Tengzhong Heavy Industrial Machinery has to be approved by China's government-run planning agency, the National Development and Reform Commission. But reports from China last week cited two reasons the agency is against the Hummer deal.
Sources told the China National Radio last week that Tengzhong lacks the expertise to run Hummer and that Hummer's fuel-thirsty SUVs don't mesh with the government's push to boost fuel economy. GM announced the deal in early June, saying it would save about 3,000 American jobs.