On the other hand, Wayne County Executive Robert Ficano welcomed the acquisition of Nexteer by Chinese buyers with open arms.

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Based in Saginaw, Michigan, Nexteer employs 8, 300 people and has 22 factories, six engineering centers and 14 customer-support centers around the world.

FORBES: China Shops in the U.S. For Auto Parts Makers

The deal opens doors for Nexteer in China, while giving the Chinese access to important technology in the fastest-growing vehicle market in the world.

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And the opportunity for Nexteer to penetrate the Chinese auto market, soon to be the world's largest, was a major selling point for GM, this person said.

WSJ: The Game: A GM Unit in China's Hands

Once Nexteer hit the auction block, the Chinese investors proved surprisingly thorough, even though some of them didn't speak English, said a person familiar with the transaction.

WSJ: The Game: A GM Unit in China's Hands

And Nexteer's new owners are eager to buy the company because of its more than 1, 000 patents, says Jack Chen, an investment banker at Los Angeles's Transworld Capital Group who helped arrange the deal.

WSJ: The Game: A GM Unit in China's Hands

Nexteer was in bad straits in recent years.

WSJ: The Game: A GM Unit in China's Hands