View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
June 12, 2003

USA: GM still after Chinese Daewoo engine plant

General Motors is still in negotiations to buy a Chinese engine plant which was set up by South Korea's Daewoo Motor, GM Asia-Pacific president Fritz Henderson told Reuters on Wednesday as he denied recent reports that the talks had been called off.

By bcusack

General Motors is still in negotiations to buy a Chinese engine plant which was set up by South Korea’s Daewoo Motor, GM Asia-Pacific president Fritz Henderson told Reuters on Wednesday as he denied recent reports that the talks had been called off.

“We’re negotiating,” Henderson reportedly told reporters at a briefing in Detroit. “There’s a dance. We do have an interest in the plant.”

Reuters noted that Daewoo said in March that GM was set to buy the $US228 million plant in Yantai in Shandong province, capable of producing 240,000 engines and transmissions a year, from its creditors, and officials at the South Korean conglomerate had said talks hinged on a price for the Chinese engine venture, which GM said the ailing Asian car maker wanted to sell.

GM and partners took a majority stake in some of the assets of Daewoo Motor last year, creating the new company GM Daewoo Automotive and Technology Co. Daewoo Motor is now in the process of liquidating assets not covered by the acquisition, Reuters added.

Topics in this article: ,
NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Monday. The industry's most comprehensive news and information delivered every quarter.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Just Auto