Some of the speculation surrounding GM Daewoo’s woes centers around the possibility of GM’s Chinese partners buying The General’s Korean division. Whether those rumors hold up remains to be seen, but there’s no doubt that GM’s largest Chinese partner, SAIC, is looking into taking a larger ownership in GM’s Asian operations. Automotive News [sub] reports that GM is in talks with SAIC on cooperation in the Indian market. One possible outcome could be SAIC taking a stake in GM India. “GM’s discussions with SAIC include business opportunities in India, but no final decision has been made on how they will cooperate,” say GM spokesfolks. But we can guess that it will involve SAIC taking a bigger ownership stake. The Shanghai-based firm has seen sales rise 47 percent, and net profit rise 70 percent in 2009 to-date. GM, in partnership with SAIC, has become one of the top automakers in China. Could that success be replicated in India, or is SAIC simply outgrowing its partner?
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Are you writing about the same General Motors that used to have an arrangement with Suzuki? Not the method of teaching violins, but the Suzuki company which has an arrangement with Maruti, which combined, happen to be the leading automobile manufacturer in India?
How does one say “You missed the boat!” and in which language does one need to say it?
At what point does GM get “Shanghaied” and ends up being owned by the Chinese in exchange for a tiny tid-bit of the national debt?
After all, GM is nationalized, for all intents and purposes.
Oh, wait. Silly me. They’ll have to wait for the GM IPO so more suckers can send money in as an “investment” – then comes Chapter 7, then the hand-over to SAIC…
Problem #1. GM has issues with it’s Korean subsid and needs some cash quickly.
Problem #2. GM can’t take any of the $50B that it got from earlier problems to solve problem #1.
Solution – GM “asks” it’s most successful partner to “join” it in it’s Indian endeavors (which has all of the makings of a great opportunity if you can get in Now).
Unintended problem #3. Anyone remember the scene in Goodfella’s when the “partner” can’t pay and they burn down his place for the insurance???
Can we finally concede that China owns America? It’s sad that it’s come to this. Our biggest debtholder is…China. And I find that a bigger security threat than all of the goons involved with the Taliban and Al-Qaida tied together. For that reason alone, I really wish GM and Ford (I think Chrylser may be a lost cause) would actually get their collective heads out of their asses and succeed as a truly American company. Call me an unabashed, patriotic American, but I tire of hearing about all of this…