China Buying Into Government Motors

chefdennis · Nov 11, 2010

LOL, they have bought up our country by buying our debt...they have bought and control large blocks of real estate in major cities...they are buying into our privately held oil companies and those in countries that surround us.....

Now it looks like China is buying into Government Motors to help them out....yea its suppose to be just a "single digit" investment now....but as they move you can bet it will be larger...lol and don't even think about telling everyone they are doing it because they think it is a "smart or good" investment...they continue to buy the US debt too....

China's SAIC close to GM IPO stake buy-sources

DETROIT/NEW YORK
Wed Nov 10, 2010 6:04pm EST
China's SAIC close to GM IPO stake buy-sources | Reuters

Nov 10 (Reuters) - General Motors Co [GM.UL] is in the final stage of talks to sell equity to long-time Chinese partner SAIC Motor Corp (600104.SS) in conjunction with its landmark initial public offering, two people familiar with the matter said.

The two government-funded automakers are currently finalizing how much of a stake SAIC would buy in the top U.S. automaker after discussions involving technology sharing and SAIC's ambitions to move beyond the China market, the sources said.

Any agreement between GM and SAIC would need Chinese government approval and could still fall apart, the sources cautioned.

One person familiar with the matter said previously that SAIC had initially reached out to GM to explore the prospect of taking a "single-digit" stake in GM. The size of SAIC's prospective investment was not known.

The final round of talks have been led by SAIC Vice Chairman Chen Hong and could conclude as soon as the weekend, that source said.

The sources were not authorized to speak with the media and declined to be named because the talks are private. Representatives for GM and SAIC declined to comment.

(Reporting by Kevin Krolicki in Detroit, Soyoung Kim and Clare Baldwin in New York, Philipp Halstrick in Frankfurt, Fang Yan in Beijing; Editing by Bernard Orr)

Turtle · Nov 11, 2010

Read China Buying Hard Assets Around the World, and U.S. Companies That Invest Big In China.

chefdennis · Nov 11, 2010

China''s preference for hard assets over Treasuries, taken by itself, is sure to put upward pressure on U.S. interest rates and make U.S. economic growth somewhat more difficult than it would be if China went back to its previous policy of buying heftier amounts of U.S. government debt each year. Lately, however, any "China effect" has been overwhelmed by Treasury purchases by the Federal Reserve.

* yeap they can continue to buy our debt or stop and force the Fed to buy our own debt (monetization), and print money so they can (devaluation of the dollar...all the time forcing the dollar down and letting china buy hard assets at fire sale prices based on a garbage dollar..good business

For its part, China must maintain a balance between investing wisely and making sure the U.S. remains economically healthy enough to absorb Chinese exports. That consideration will become less important as China further expands its own domestic market and becomes less reliant on exports.

*yeap keeping that small balancing act just enough to keep the US able to buy their exports while having US companies build the market in China.....More good business

LOL....how long ago did china say they would take over the USA without firing a shot....