• 104
Although it has been evident for some time that General Motors' sale of its Hummer brand to Sichuan Tengzhong Heavy Industrial Machines Co., Ltd., we didn't expect for word to come down today that the negotiations are dead and the brand will be wound down. Unfortunately, judging by a press release just issued by GM, that's exactly what will be happening. According to John Smith, GM's vice president of corporate planning and alliances,

"One year ago, General Motors announced that we were going to divest Hummer, as part of focusing our efforts on Chevrolet, Buick, GMC and Cadillac going forward. We have since considered a number of possibilities for Hummer along the way, and we are disappointed that the deal with Tengzhong could not be completed."


As we learned from the Saab sale saga, GM announcing that the brand will be wound down does not completely extinguish hope for another buyer to slip in in the 11th hour, but it does seem highly improbable that a new party will pick up where the negotiations with China's Tengzhong left off.

In the statement available after the jump, GM does not specify what killed the planned sale of the brand, but rumors in recent months suggested that the Chinese government was not keen to sign off on the deal. At the moment, it is unclear what will happen to Hummer's H2 and H3/H3T models, but it is likely that the tooling and manufacturing rights will be sold off to other companies. It is also unclear how many employees will be out of work as a result of the closure.

As with the wind-down of its Saturn and Pontiac brands, GM has pledged to honor Hummer warranties and continue to supply service and parts.


Introduction in Desert Storm
  • Introduction in Desert Storm
  • This aggression will not stand! Discounting Panama and top secret counter insurgency ops in other Central American countries, America hadn't been to war since Vietnam. As you might remember, that particular war didn't go so well.

    And while most Americans wanted to get this Saddam guy real bad, we were a little trepidatious. But thanks to you, High Mobility Multipurpose Wheeled Vehicle (a.k.a. HMMWV or Humvee), our fears were cast aside and we opened a can of whoop-ass on the Iraqis, forcing them back to Baghdad in just three short weeks. Nicely played.
  • Image Credit: photo by DOD
  • Arnold Gets One
  • Yes, well, if you're going to sell a manly truck to the masses, you're going to need the uber male to get 'er done. Enter Arnold Schwarzenegger, six-time Mr. Olympia winner and king of the Eighties action movie box office. Hey, if you're going to sell a truck all pumped up on steroids, why not pitch it with a man that knows the drill?

    The very first civilian Hummer went to the future governor of California. And then he bought several more. This proved to be something of an Achilles Heel during his campaign for governor, as by that point in time, Hummers were known as wasteful, mega-polluters and symbols of obnoxious, conspicuous consumption. No problem - Arnold had one of his converted to run on veggie-diesel.

    Funny foot note: Jello Biafra (and the Melvins) recorded an updated version of the Dead Kennedys' classic "California Uber Alles" in 2006 all about Governor Schwarzenegger. Some lines include, "I'll run you over with my Hummer baby, und I vill Terminate you!"
  • Image Credit: Photo by Chris Weeks/Liaison
  • GM buys Hummer, H2 Arrives
  • It may seem absurd in 2009, but back in the day, SUVs were the key to easy money if you were a carmaker. And hey, the bigger, the better. Thanks to our totally insane tax code, if you bought a vehicle weighing more than 6,000 pounds and used it for work (i.e. you're a farmer and need a tractor) you didn't have to pay as much in taxes. Car companies decided to ride that loophole all the way to the pot of gold at the end of the rainbow.

    Still, H1 Hummers cost well over $100,000 and the margins were low. But, what if you could take a $25,000 truck, pack on 1,500 hundred pounds of extra weight and sell it for $50,000? Meet the H2, a veritable cash cow for GM in the early part of this decade. Emphasis on cow, of course. Er... on cash, too.
  • The Official Ride of Prom
  • Just look at this thing. Could any car be more American? It's almost perfect, as it follows the unwritten rule of American luxury. We don't really want anything too nice, but we want lots of it. Luxury by the pound, or in this case, by the foot. In many ways, big old Hummer limos are in fact the heirs to the giant Caddy limousines of yore. What better car to load up with hormone ravaged teenagers a few short months before they enter dull old adulthood?
  • Hummers Vandalized En Masse
  • As this decade wore on, people started to take a look around and see a few problems with Hummers. Like why, more often than not, is a three-ton vehicle being driven one-handed by a solo dude with spiky hair, a hockey jersey and a cell phone stuck to his ear? Even more sinister, some people felt the Hummer was a symbol for wretched excess and conspicuous consumption.

    Solution? Burn them, Salem witchcraft style. Or just slash the tires, smash the windows and spray paint really mean things on the side. Like this.
  • Hummers Better for Environment than Prius?
  • Speaking of backlash, a certain segment of society had it in for the Toyota Prius. So frothy and out of control was their animosity that they decided to claim that a Prius is actually worse for the environment than a Hummer H2. As it turned out, little could be farther from the truth.
  • Merchandize It
  • Oh yes, Hummer branded products. Hey, it works for Ferrari, Lamborghini, Jeep and Porsche... why not? Well, Hummer Cologne might be one reason.
  • Helpful Hummers
  • Despite all the fun we've been having at Hummer's expense, the H1, H2 and H3 are all superbly competent off-road vehicles. Naturally then, they lend themselves nicely to a whole host of specialized uses. Like Red Cross disaster vehicles. More of this sort of thing, and less 24-inch dubs with scissor doors might have helped save the brand.
  • Mr. Bay, I'm Ready For My Closeup
  • A couple of years ago General Motors made a movie about cars that change into giant computerized piles of scrap. Wait - we mean fighting robots. Oh, and Michael Bay made the movie, not GM. And some of us never saw it because we turned 16 more than a decade ago. A Hummer played Ratchet, medic for the Autobots, or so other people who saw the movie tell us.
  • Guns + Hummers
  • If you can't beat 'em, shoot 'em. Or something like that. The actual story is that struggling Hummer dealers were desperate to sell anything, since people just aren't buying giant SUVs that get single digit MPGs during the worst recession since the Hooverville. Enter Lynch Hummer in Missouri, which combined the sale of fire arms with Hummers. A match made in Hell.
  • I Humped Your Hummer
  • For a lot of us, the good people over at ihumpedyourhummer.com were the only ones to truly make sense of this whole Hummer phenomenon. No, really.

[Source: General Motors | Image: Scott Olson/Getty]

PRESS RELEASE

HUMMER Sale to Tengzhong Cannot be Completed
Wind down of HUMMER business to begin


2010-02-24

DETROIT – General Motors today announced that Sichuan Tengzhong Heavy Industrial Machines Co., Ltd. (Tengzhong) was unable to complete the acquisition of HUMMER. As a result, GM will begin the orderly wind-down of the HUMMER operations.

"One year ago, General Motors announced that we were going to divest HUMMER, as part of focusing our efforts on Chevrolet, Buick, GMC and Cadillac going forward. We have since considered a number of possibilities for HUMMER along the way, and we are disappointed that the deal with Tengzhong could not be completed," said 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."

GM will continue to honor HUMMER warranties, while providing service support and spare parts to current HUMMER owners around the world.

###


I'm reporting this comment as:

Reported comments and users are reviewed by Autoblog staff 24 hours a day, seven days a week to determine whether they violate Community Guideline. Accounts are penalized for Community Guidelines violations and serious or repeated violations can lead to account termination.


    • 1 Second Ago
  • 104 Comments
      • 5 Years Ago
      Too bad we can't see GM keep the brand and
      use it to lead the way with more relevant SUVs such as
      applying lessons learned on the Volt to the
      SUV segment . . . Sort of a "new Hummer" from a
      "new GM".
        • 5 Years Ago
        I agree - it'd be amazing to see someone take a brand that is synonymous with 'conspicuous consumption,' and turn it into something that champions both off-road quality and efficient operating technology.
      • 5 Years Ago
      Great.
      Now GM can spend more money on upgrading their Trailblazers, Tahoes, Suburbans and Escalades to compete with "Trail Rated" Jeeps.
      Good luck. :(

      I guess GM considers the military a poor customer due to the way they trash all those Humvees.
      Perhaps the Aussies can pick up the tab and make them on the Zeta II platform alongside the new police PPV?Impala?Caprice?Commodore? or whatever.
      • 5 Years Ago
      I liked the Hummer grill more the first time, when it was called JEEP.

      Now that we got this whack pretender in the ground, can we PLEASE give Jeep the respect the brand deserves? There is still nothing truly wrong with a well designed 4x4 - that is one designed for a purpose, not a "lifestyle."

        • 5 Years Ago
        Spare me... Jeep lost their lawsuit. Deal with it (& this coming from a person who worked for Chrysler for a decade)
        • 5 Years Ago
        There was a lawsuit? Lol I had no idea! I was just saying I think the Jeep brand is all the super-off-road uber brand the US really needs. What goes on behind those doors however is a completely different story and I differ to current and former Chrysler employees and pundits on the best way forward.
      • 5 Years Ago
      Yay, now excessive greed will end!

      Uh huh.
      • 5 Years Ago
      This is terrible news. An absolutely huge blow to the automotive
      community.

      What gas-guzzling abominations are the rich d-bags in Hollywood (and
      everyone else that believes that money can buy style) going to drive
      now?

      .. and queue Dust In the Wind.
      • 5 Years Ago
      This is fking great! Time to open up that Dom Perignon...one down, a few others to go.
      JGM
      • 5 Years Ago
      Please!!!, the Hummer falling in the hands of the Chinese???? how is the Hummer, which is very different from the Humvee, sacred to US intelligence?
      • 5 Years Ago
      Did the H3 really get worse mileage than the Colorado upon which it is based? Maybe the bigger tires and blocky aero would hurt it some, but it's not like the 5 cyl in the Chevy was great.

      And likewise for the H2, it's based on Chevy trucks.

      I liked the look, but they seemed to be hard to see out of.

      If they had been offered with diesels, different story. That type of vehicle should be a diesel, only.
      • 5 Years Ago
      I hope nobody takes over production of these. This is good news ( in my mind ) but the idea of a sequel sours the epic win.
      • 5 Years Ago
      Maybe the government/military should take over operations?..



      Oh wait...........
        • 5 Years Ago
        Thanks for the history lesson, Carlos. I'm quite familiar with AM General and Hummer's history. And FYI, the H2 and H3 chassis were loosely based off the Silverado/Colorado platforms, but were significantly beefed up/changed.
        • 5 Years Ago
        @ SpaceGhost..

        I lol'ed....
        • 5 Years Ago
        The military Humvees have absolutelly nothing to do with the GM Hummer. Humvees are an American General brand and, except for a diesel motor, parts are not interchangeable among the brands. Hummers were created in order to cash in on the Iraq war popularity of the Jeep successor and are built on Chevy pickup chassis.
        • 5 Years Ago
        i c wut u did ther. :)
        • 5 Years Ago
        @Carlos: WHOOSH
      • 5 Years Ago
      This is one brand I am not unhappy to see go away, unlike Saab. It represents all that was wrong with the last decade (financial crisis-wise).
        • 5 Years Ago
        +1. Excess. Greed. It keeps us working. Its still a problem till people realize they need to downgrade instead of always "upgrading".
        • 5 Years Ago
        HUMMER was right for its times. The thing was that the 'times' were short.

        With 9/11 and the Iraq War, everyone was into protecting themselves, feeling safe and playing GI Joe. Gas prices were $1.50/gallon so driving a huge behemoth of a vehicle was not a big deal.

        We're in different times. I'm not going to miss HUMMER one bit. Other than when the big hulking SUV is in front of me and I can't see anything what's going on in my lane.
        • 5 Years Ago
        @Luis: Pay no attention to Glock. He's most likely a Hummer owner, upside down on his mortgage, and drowning in credit card debt. He just bitter.
        • 5 Years Ago
        I personally don't really like Hummers and I'm not an owner. I'm just sick of the eco elite forcing their values on me......
        • 5 Years Ago
        No need to comment now, except to express full agreement with Luis.
        • 5 Years Ago
        @glock: Alright man truce. I'm not eco elite either. We all have our opinions that's it. And nobody is forcing their values on you. Its free speech. This is America. Free speech, along with 40 hour work weeks, bailouts, Hummers, and Prii(Prius plural, i assume). I see the Prius as a rip off and the Hummer as a ripoff. They both keep people working. They are both pointless. The Hummer devours gas and the Prius is too expensive for its own good.
        • 5 Years Ago
        So I assume daddy wouldn't buy you a Hummer, hence the hate.....
        • 5 Years Ago
        Right, The capitalist company known as Hummer is to blame for that "greed" image... not the Americans who buy it. I have stated this before, The American public is the problem... not Hummer.

        Hope they dont kill it. Its simply a product of its environment (meaning us) and just because we changed out mind, doesnt make Hummer the devil all the greenies are making it out to be. Its nothing more then a Tahoe, which there are plenty of...

        I think this is why badge engineering actually works. Because people are to stupid to realizes that they can HATE hummer, and are fine with Chevy... i Bet toyota sells more massive SUV's overall then Hummer did this year.



    • Load More Comments