Isuzu rumored to be in talks with GM about medium-duty truck business
09/22/2008, 1:40 PM
By Drew Johnson
With the downturn of the truck market and the overall budget cuts at General Motors, GM’s medium-duty truck business has not been feeling a lot of love as of late. In fact, GM’s medium-duty truck business hasn’t been feeling a lot of love from anybody, with Navistar backing out of its deal to acquire the business from GM just last month. But it looks as though business could be on the rebound as GM appears to have found a new suitor.
According to Automotive News, GM is currently in talks with Japan’s Isuzu to sell its medium-duty truck operation. Although Isuzu has yet to confirm the report, Japan’s number two truck maker looks to be in the prime position to acquire the business from GM.
If the deal does go through, Isuzu will be responsible for producing the trucks’ chassis and frames, as well as assembly. However, the trucks – currently produced as the Chevrolet Kodiak and GMC TopKick – would likely retain their GM nameplates.
The deal will also likely see Isuzu raising its stake in DMAX, a joint-venture setup between the two companies to produce diesel engines in Ohio. Isuzu currently holds a 40 percent stake with GM retaining the other 60 percent.
No word on the final value of the deal, but the deal could be inked by the end of 2008.
09/22, 3:58 PM
posted by:
Need more oil for GM
GM would be stupid to hand over their truck line to the Japs
09/22, 4:12 PM
posted by:
yarddog82abn
We sale alot of Kodiak’s & TopKick truck, and some Isuzu trucks, regales if it’s a Chevy’s or GMC”s they will still sale, I just hope that the DMAX is all what they built it up to be.
09/22, 5:05 PM
posted by:
injunraiv
Isuzu and GM have been partners for years in the MD truck biz. The Duramax is an Isuzu design! The 2 companies dissolved their partnership a while back, probably when Navistar started making inquiries about purchasing the biz. GM / Isuzu might be a perfect partnership again…
09/22, 6:53 PM
posted by:
VWgrouP
I thought Isuzu got discontinued…Seriously, I haven’t seen one of those for years!
09/23, 7:35 AM
posted by:
MercMark
American companies are so short sighted.
09/23, 10:21 AM
posted by:
shaver
GM needs cash and bad.