General Motors To Become Chinese?

Emptywheel one of the popular blog in blogosphere reported the possibility of General Motors’s(GM) transformaion to a Chinese company.In their article they exploring the future of GM in wake of the unfavorable response for their bailout movement from American Congress.

Emptywheel believes GM may opt any one out of four choices,

1.Filing bankruptcy.

2.Their Chinese Partner Shangai Automotive Industry Corporation(SAIC) buying majority stake in GM.

3.GM importing cheaper products from GM-SAIC.

4.Leasing GM-SAIC’s Volt technology to other US companies.

So the if GM chooses any one out of this four options they will land up in dragon’s land in due course of action.If the situations are not improving and GM chooses bankruptancy SAIC will be the front runner as they posses the cash reserve to purchase GM’s assets.If GM-SAIC starts importing their China built products, that will be really interesting scenario to watch.Also there is a good chance to lease their electric car technology in new Goverment.

So it may GM turn to become Chinese after IBM’s laptop business turning to Lenovo.

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