GM CEO upbeat about prospects for Hummer sale to Tengzhong

Shanghai, October 14 (Gasgoo.com) General Motors Co. Chief Executive Frederick "Fritz" Henderson expressed confidence on Tuesday about the prospects for the sale of the company's Hummer unit to Chinese buyer Sichuan Tengzhong Heavy Industrial Machinery Corp on his first visit to China since GM emerged from bankruptcy protection.

Tengzhong has said it expects to get regulatory approval for the deal by early next year. Henderson told reporters at the news conference in Shanghai that "they (Tengzhong) are confident and we will support them in whatever they need".

However he denied reports he would meet with authorities while in China to push for the deal's approval, saying that it was up to the Chinese buyer to win needed government approvals.

GM's sales in the January-September period in China totaled 1.29 million units, up 55.6% from a year earlier. GM said in early September it expected its sales in China to grow by more than 40% this year.

To boost sales, GM will introduce more than 30 all-new or refreshed products over the next five years. Henderson said GM plans to launch a new Chevrolet Sail by the Lunar New Year, designed and developed primarily by the Pan-Asia Technical Automotive Center Co., or Patac, an automotive design and development joint venture between GM and SAIC Motor Corp in Shanghai. The Lunar New Year holiday will start Feb. 14.

"New Sail has been developed for customers in China and has great potential for other customers in emerging markets," he said.

Nick Reilly, GM's executive vice president for international operations based in Shanghai, said the company has no immediate plans to make China a major base for exports to other markets.

GM may eventually produce cars for export from China, but they would primarily go to emerging markets or help make up for shortfalls in vehicle models made in the U.S., he said. "There are no plans to export to the U.S."