GM and Ford merger was discussed

A merger of U.S. automakers General Motors and Ford Motor was discussed, but shot down at a recent management meeting at GM, according to an article in the July 7 edition of Business Week.

The idea was floated by a senior GM executive, but set aside as such a deal could be a huge distraction and double many of the numerous problems that both companies are facing, said the report, citing someone familiar with the discussion.

However, such a deal would have some merit, as merging the massive overheads of both companies could save billions and their combined cash hoard of $50 billion could help them weather the downturn in automotive sales, the article said.

Court bans German sales of China-built SUV

A court has banned German sales of an SUV made by Chinese automaker Shuanghuan .
The court in Munich ruled that Shuanghuan's CEO infringes BMW's design rights. BMW claims the CEO closely resembles its X5 premium SUV. It started legal proceedings last September to stop CEO sales in Germany.

Shuanghuan's German importer China Automobile Deutschland denied that the CEO infringes BMW's design rights.

Managing Director Karl Schloessl told Automotive News Europe that although the CEO was a different car from the X5, it was possible that some elements of its design could resemble other cars on the market. "Even when you look at some BMWs and some Audis, there are similarities,"
he said.

Schloessl said that he planned to appeal against the court ruling.

"It is a one-sided judgment, but of course it was made in Munich. It's a BMW city," he said.
Shuanghuan spokesman Zhang Rui said the carmaker could not comment because it has not yet been notified about the ruling.