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China Firm to Buy Control of U.S.-Backed Battery Maker
Wall Street Journal ^ | August 8, 2012 | by Mike Ramsey

Posted on 08/08/2012 10:15:12 AM PDT by Oldeconomybuyer

A123 Systems Inc., a struggling, U.S. government-backed manufacturer of advanced batteries for electric vehicles, is turning to one of China's largest auto parts makers for a bailout.

A123 was the first company to open a factory in the U.S. using funds from an Obama administration program to encourage domestic production of advanced batteries. The Wanxiang investment may allow the A123 to move forward with plans to build a second facility and draw the remainder of a $249 million Energy Department grant.

The company, partially owned by General Electric Co., likely would keep its U.S. headquarters and operations while giving the parts company access to battery technology and the chance to expand in China where the government has made electric-vehicle adoption a priority, A123 said.

(Excerpt) Read more at online.wsj.com ...


TOPICS: Business/Economy; Government; News/Current Events; Politics/Elections
KEYWORDS: china; cronycapitalism; cronycommunism; failure; porkulus; socialism
Crony Capitalism.
1 posted on 08/08/2012 10:15:18 AM PDT by Oldeconomybuyer
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To: Oldeconomybuyer

1.was the first company to open a factory in the U.S. using funds from an Obama administration.

2.The company, partially owned by General Electric Co.

3. What could go wrong?.


2 posted on 08/08/2012 10:19:17 AM PDT by Vaduz
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To: Vaduz

Crony Communism.


3 posted on 08/08/2012 10:27:16 AM PDT by Oldeconomybuyer (The problem with socialism is that you eventually run out of other people's money.)
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To: Oldeconomybuyer

Indeed


4 posted on 08/08/2012 10:57:09 AM PDT by Vaduz
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