Sichuan Tengzhong Heavy Industrial Machinery Co. will be blocked from buying General Motors Corp.'s (GM) Hummer brand by Chinese authorities on environmental grounds, the BBC reports on its Web site Friday, citing Chinese state radio.

The sale of Hummer to the little-known Chinese manufacturer of dump trucks and industrial machinery had been supported by the Obama administration, but faced difficulties getting Beijing's seal of approval.

The BBC quotes China National Radio saying that Hummer is at odds with China's attempts to decrease pollution from Chinese manufacturers. The state radio station said the National Development and Reform Commission will also block Tengzhong Heavy's acquisition of Hummer because the Chinese company lacks the expertise to produce cars.

Tengzhong needs suuport from three different Chinese government agencies governing overseas investment, economic planning and China's tight controls on foreign exchange.

Full story: http://news.bbc.co.uk/1/hi/business/8120231.stm

-By Steve McGrath, Dow Jones Newswires; 44-20-7842-9284; steve.mcgrath@dowjones.com