The Chinese government already owns hundreds of billions of dollars of
United States Treasury bonds, but now do they also own Hummer?
Based on published reports, "According to a report from Beijing's Jinghua newspaper,
China's Hunan Chengfeng Motor Company is in talks with Indiana-based AM
General over a possible joint purchase of ailing HUMMER."
The story goes own to say, "Changfeng is one of several Chinese automakers said to be looking for a route into the U.S. market."
Normally
the sale of an American car brand to the Chinese might only raise a few
eyebrows, but the problem comes when you consider that Chang Feng is
not only state owned:
"Chang Feng (Group) Co., Ltd built in 1950, which is a
large state-owned enterprise with total assets 5.54 billions yuan, over
3600 employees." according to the company's web site.
But
if you read on the Chang Feng web site also says that the company got
its start as part of the Chinese People's Liberation Army, " Chang Feng (Group) Co., Ltd was reorganized in
Oct.1996, its former was No. 7319 Factory of Chinese People's Liberation
Army Chang Feng (Group) Co.,Ltd."
So
if GM has indeed sold Hummer to Chang Feng, you can see why it and the
U.S. government would not be keen on disclosing the fact that the People's Liberation
Army just bought a car brand based on the American Army's current workhorse vehicle.
It
could be a bit politically problematic—to say the least, that a bankruptcy deal partly crafted inside the Obama administration could have the
Chinese People's Liberation Army owning Hummer in September.
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