China Humming A Sweet Tune
Derek Scissors /
As rumored for several weeks, a Chinese company is buying at least one piece of General Motors. GM will sell its Hummer brand to Sichuan Tengzhong Heavy Industrial Machinery for an as yet undisclosed sum, probably $200–$300 million.
There are multiple dimensions to the proposed acquisition, covering both commerce and national security. One immediate response might be along the lines of “America just shouldn’t sell a brand name like Hummer to the Chinese.” This would be misguided interference in the free market and, not coincidentally, something we correctly accuse China of doing. (more…)