Even since gas topped $4 a gallon and the overall economy took a nose dive, General Motors’ medium-duty truck business has been that kid that no one wants to ask to the school dance. Navistar agreed to take over the business earlier this year, but backed out last month due to the market conditions. Just last week Isuzu was rumored to be interested in acquiring GM’s medium-duty truck business, but alas, the business is still dateless.
According to Automotive News, Isuzu will not be acquiring GM’s medium-duty truck business. Japan’s number two truck maker had been considering the deal, but decided not to move forward with the acquisition due to weakening market conditions and the strong possibility that the truck maker will not reach its target profits this year.
“It will be difficult to achieve the net profit target but we will do everything possible to achieve it,” Isuzu President Susumu Hosoi told Reuters. When asked about buying GM’s medium-duty truck business, Hosoi added: “There will be no such acquisition happening.”
Moreover, Hosoi continued by saying Isuzu has no plans to increase its stake in DMAX – a joint venture with GM that produces diesel engines. Earlier reports suggested that Isuzu would raise its 40 percent stake in DMAX.
