Fisker Will Be Chinese, One Way Or The Other

Bertel Schmitt
by Bertel Schmitt

Not Dongfeng, but China’s Geely currently looks best positioned to profit from U.S. government largesse by buying beleaguered and DOE- funded plug-in car maker Fisker, Reuters reports. According to the report, “Zhejiang Geely Holding Group is favored to secure a majority stake in troubled U.S. electric car maker Fisker Automotive, according to two sources familiar with Fisker’s search for a strategic investor or partner.”

Also according to the report, red flags are sure to flutter over Fisker’s HQ in Anaheim, as Fisker “is currently weighing bids from two Chinese auto makers: Geely, the owner of Sweden’s Volvo, and state-owned Dongfeng Motor Group Co.”


Geely Chairman Liu Shu Fu (left)

Geely and Dongfeng did offer between $200 million to $300 million for a controlling interest in Fisker. Reuters’ sources think Geely has the inside track, because Geely is “more serious” and “passionate” about Fisker and its technology, the company also is said to be able to “move fast in making decisions — unlike Dongfeng, whose responsiveness could be hampered by its multi-layered decision-making structure typical in a Chinese state-owned enterprise.”

In 2009, Fisker received a $528.7 million conditional loan from the DOE. After drawing down $193 million, the credit line was frozen, following a series of scandals surrounding other DOE recipients. Production was shut down in summer of 2012 while fresh capital was sought. The financial troubles of Fisker’s battery supplier A123 gave Fisker another reason not to restart production. A123, another recipient of DOE largesse, was sold off to China.

Which is where DOE recipients appear to get outsourced to.

Bertel Schmitt
Bertel Schmitt

Bertel Schmitt comes back to journalism after taking a 35 year break in advertising and marketing. He ran and owned advertising agencies in Duesseldorf, Germany, and New York City. Volkswagen A.G. was Bertel's most important corporate account. Schmitt's advertising and marketing career touched many corners of the industry with a special focus on automotive products and services. Since 2004, he lives in Japan and China with his wife <a href="http://www.tomokoandbertel.com"> Tomoko </a>. Bertel Schmitt is a founding board member of the <a href="http://www.offshoresuperseries.com"> Offshore Super Series </a>, an American offshore powerboat racing organization. He is co-owner of the racing team Typhoon.

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  • Jerry Haan I have these same lights, and the light output, color, and coverage is amazing!Be aware, these lights interfere with AM and FM radio reception with the stereoreceiver I have in my garage. When the lights are on, I all the AM stations havelots of static, and there are only a couple of FM stations that are clear. When Iturn the lights off, all the radio stations work fine. I have tried magnetic cores on the power cords of the lights, that did not makeany change. The next thing I am going to try is mounting an antenna in my atticto get them away from the lights. I contacted the company for support, they never responded.
  • Lou_BC Are Hot Wheels cars made in China?
  • DS No for 2 reasons. 1-Every new car pipelines data back to the manufacturer; I don't like it with domestic, Japanese and Euro companies and won't put up with it going to Chinese companies that are part financed by their government. 2-People have already mentioned Vinfast, but there's also the case of Hyundai. Their cars were absolutely miserable for years before they learned enough about the US market
  • Theflyersfan Well, if you're on a Samsung phone, (noticing all of the shipping boxes are half Vietnamese), you're using a Vietnam-built phone. Apple? Most of ours in the warehouse say China, but they are trying to spread out to other countries because putting all eggs in the Chinese basket right now is not wise. I'm asking Apple users here (the point of above) - if you're OK using an expensive iPhone, where is your Made in China line in the sand? Can't stress this enough - not being confrontational. I am curious, that's all. Is it because Apple is California-based that manufacturing location doesn't matter, vs a company in a Beijing skyscraper? We have all weekend to hopefully have a civil discussion about how much is too much when it comes to supporting companies being HQ-ed in adversarial countries. I, for one, can't pull the trigger on a Chinese car. All kinds of reasons - political, human rights, war mongering and land grabbing - my morality is ruling my decisions with them.
  • Jbltg Ford AND VAG. What could possibly go wrong?
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