Tengzhong clears another obstacle to buy Hummer

Tengzhong has cleared one more obstacle after report came out that China's Ministry of Commerce had approved its plan for Hummer last Friday.

The unidentified official told the newspaper that "we find no excuse to block it as Tengzhong assured in its application that it only wants to buy Hummer's brand, while issues like intellectual property and new plants are not involved."

Bloomberg reports that executives from Sichuan Tengzhong are expected to arrive in Detroit early this week for more negotiations with GM and an agreement could be signed and announced during the trip.

With Tengzhong issuing pronouncements about maintaining Hummer's dealer network, it looks like the company is confident it will achieve its end very soon.

But officially, Tengzhong responded on Monday that it is still awaiting official word, and "the transaction will be announced upon the signing of the definitive agreement as soon as appropriate".