By on November 7, 2010

The Freep says GM has appointed a Vice President of diversity. And they’ll need one. GM’s post-IPO ownership roster shapes up to be quite, well, diverse. China’s SAIC appears to be gung-ho for the IPO. And it’s not just the Chinese government that likes the idea of owning a little bit of America.

Reuters reports that Kuwait Investment Authority (KIA), a sovereign wealth fund, has indicated their interest in purchasing part of General Motors. Bader al-Saad, KIA’s Managing Director, thinks he might be getting a deal: ” If it is feasible for us we will look in it…if it is something cheap, we are interested of course.” If the KIA were to buy a stake in GM, it would be rather interesting. A quick look at the Wikipedia page for the KIA shows that that they also hold a significant stake in Daimler AG; almost 7 percent of the Stuttgart company. What is to stop the KIA acting like a bridge between GM and Daimler? Daimler needs the economies of scale and some European technology wouldn’t go amiss at GM. Yes, it is a bit farfetched. What is not so far-fetched is that all this talk that GM needed to be rescued because one day we might need them to build tanks and halftracks, sounds sillier by the minute.

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10 Comments on “Government Motors: Chinese Government, Kuwaiti Government …...”


  • avatar
    Educator(of teachers)Dan

    “Detroit!  The arsenal of DEMOCRACY!”
     
    Oh, crap….

  • avatar
    Some Guy

    As much as Americans may bellyache about foreign interests buying into an American Institution such as GM, it wouldn’t be the only time it happened. Aside from partial ownership of Daimler by Kuwaitis, there’s Sony’s purchase of Columbia pictures, for example. And you don’t see people boycotting them.

    If Americans are sick of American companies being owned by foreign interests, then they should start supporting American companies so they have enough money to control the foreign companies instead.

    And I’m not an American flag waver. I’m not even American.

  • avatar

    Sure seems to me that we could have had much the same outcome as this, without wasting $60+ billion to “save” GM.
     
    Just sayin’…
     
    At least we get to look forward to seeing how the UAW reacts to their new masters.

  • avatar
    AaronH

    This appointment is the same as the Soviet Union “Political Officer” but one would expect it from the parasitic psychopath scum in DC….Like “Diversity” or skin color and human dangling bits matters in auto production…Unless GM is going to produce Porn films then it might matter(???).

    • 0 avatar
      Patrickj

      I looked at this post this morning and was expecting a hundred or so comments in a similar vein.
      Actually, the domestic automakers have a very serious diversity problem.  They are simply non-entities in the market among Asian ethnic groups with the country’s highest incomes.
       
       

  • avatar
    edsullivan

    OK-here’s the deal-Mr. Peterson is the Diversity Chief and the part of the AN article you may have missed is that “citing a recently reinstated board of 12 vice president that oversee GM’s minority dealer development program and the hiring of two African American advertising agencies and a Hispanic advertising agency, Peterson said GM is making progress”. Correct me if I’m wrong but you may have missed the direction of GM-ya think?!!!! Furthermore, Gm is adding 35 minority owned dealerships to its network-weren’t we overdealered and needed to trim some dealerships? The SIGTARP report also stated that one of the criteria of GM during the trimming was that they NOT terminate women or minority owned dealerships. Why does the press keep missing the true intent in this? This has nothing to do with China!!!! Why does GM continually use my tax dollars to essentially fund reverse discrimination?  The GM Foundation just gave $100,000 to Rainbow Push Coalition for crying out loud!! When will this craziness stop and when will the press tell the truth for once and for all!!! Mark Reuss and GM are getting a big arm twisting from Jesse Jackson and his “Coalition”. I resent the blatant reverse discrimination and the gifting  of 35 dealerships after shutting the doors of many dealerships. Why not hire the best person for the job or give the dealership to the best candidate no matter what race. This is absurd and I am still waiting for the press to tell the WHOLE story!!!!      

  • avatar
    HerrKaLeun

    does it really matter who buys the shares now? I mean even if only American bought them now, they can turn around tomorrow and sell the shares to whoever pays the most, which might be the Chinese or BMW or Santa Claus.

  • avatar
    Trend-Shifter

    I do not believe that the country of origin matters in the ownership of a USA based company.  What helps the economy is “point of manufacturing”. 

    Look at China….
    The country is full of foreign multi-nationals without Chinese ownership.  What works for China is those foreign multi-national companies manufacture in China. 
    They still benefit even though the profits can be brought back to that company’s home country.   

    The exact opposite is true for the USA.   USA multi-national companies change the point of manufacturing from the USA to China.     Our poor economy is a direct result of their offshore ”point of manufacturing” model.  Those offshore profits provide little benefit to the USA unless they are invested stateside.

    So does USA ownership matter?

  • avatar
    geozinger

    Another hit generating headline that leads to a posting with a patchwork of thoughts. But none coherently connecting. What is this irrational fear of the ‘Chinese’ buying into GM? I would think that further ties between GM and SAIC would be a good thing, as the Middle Kingdom will be where the action is for a while.
     
    Additonally, so what if the Chinese or the Kuwaitis or the Borg buy into GM? They will be limited to a few percentage points, at most. For the foreseeable future, the UAW, US and Canadian government are majority shareholders. IF these different funds buy into GM, this will be a good thing. It will be net money INTO the US economy; rather than in going out.

  • avatar

    The Chinese buying into GM? I don’t see that going well in America…


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