Chinese agencies back Tengzhong-Hummer deal
China's commerce ministry on Wednesday played down media reports that it is at odds with the country's economic planning agency over a controversial deal for a little-known Chinese company to buy GM's Hummer unit.
Spokesman Yao Jian said: "The commerce ministry and the National Development and Reform Commission both hold a supportive attitude towards Chinese companies venturing abroad."
A politically connected source told Reuters that the NDRC seemed to oppose the deal, due partly to environmental concerns about the fuel-hungry Hummer car and the vague plans that suitor Sichuan Tengzhong Heavy Industrial Machinery has for the brand.
"This is not a decision for the government. It's an active strategy for companies in the course of globalisation. That's a long-term trend," Yao told a news conference.
China's Caijing magazine quoted an NDRC official as saying Sichuan Tengzhong had submitted documents related to its bid to the NDRC.
But Yao said his ministry, which must approve any deal valued above $100 million, had not received an application.
