Update

[HummerMann]

Will this saga ever end?

Hummer's future in doubt, again
Posted Jun 29 2009, 01:15 PM by Kim Peterson

Filed under: GM, Kim Peterson, China

General Motors (GMGMQ) tried for months to sell its Hummer brand, but massive gas guzzlers aren't that attractive anymore. So imagine the company's relief when a Chinese firm said it wanted to buy Hummer, which is known as "Hon Ma," or Bold Horse, in China.

But now it looks like the Bold Horse is staying in the stable. The Chinese government will probably quash the bid because the Hummer conflicts with environmental conservation goals, according to The Associated Press.

It's unclear whether the interested company, Sichuan Tengzhong Heavy Industrial Machinery Corp., can overcome the government opposition. The company is privately owned, the AP reports, so it isn't subject to the heavy regulations that state-owned firms are. But the government can still stop foreign acquisitions.

GM is desperate to offload Hummer, though, and a company spokesman said Monday it will try to get the green light for the sale by the end of September.

Sichuan Tengzhong has no experience in the car industry, which reportedly is another reason the Chinese government is concerned. If GM couldn't make Hummer work, how will a small firm with no expertise?