Shanghai GM to Expand Production to Include Cadillacs

Home>>Business

Last updated at: (Beijing Time) Wednesday, July 16, 2003

Shanghai GM to Expand Production to Include Cadillacs

General Motors, the world's largest auto maker, has announced plans to incorporate its famous Cadillac model into its Shanghai operations next year, the Beijing Youth Daily said on Tuesday.

DISCUSSION

CHINESE

SEND TO FRIEND

General Motors, the world's largest auto maker, has announced plans to incorporate its famous Cadillac model into its Shanghai operations next year, the Beijing Youth Daily said on Tuesday.

A market research group was recently set up by GM Shanghai to assess the feasibility of manufacturing Cadillac's CTS-model in Shanghai, according to officials with Shanghai GM, the joint venture set up by GM and its Chinese partner, Shanghai Automotive Industry Corporation, in 1997.

Shanghai GM will receive a minimum of 2 billion yuan (about 241million US dollars) from the two investors to build a new plant toexpand its production capacity, the newspaper said.

GM and Shanghai Automotive Industry Corporation, one of China'slargest car makers, each hold 50 percent of the shares in ShanghaiGM, now a leading producer in China.

The US auto giant has said that it will produce Cadillacs as well as other GM-owned products with market potential in the country, according to the newspaper.

The expansion of production capacity is crucial to Shanghai GM's ability to win a bigger share of the Chinese market, according to Jia Xinguang, a car industry analyst, commenting on GM's plans in an interview.

The new plant, scheduled to begin operations in 2005, will helpraise Shanghai GM's capacity to up to 200,000 units per year, according to the company's officials, who added that the production plan would probably be launched in August.

Questions?Comments? Click here

Shanghai GM Upgrades Buick

Shanghai GM Announces Prices for New Models

Shanghai GM Honored as Most Respected JV in China

Scholars, or Trouble Makers?--People's Observation ( 38 Messages)

Iraqi Governing Council Holds First Meeting ( 2 Messages)

Market Blast Kills Five in Xi'an, Nine Injured ( 4 Messages)

News Analysis: Is War on Iran Imminent? ( 3 Messages)

Luxury Car Release Triggers Brand Duel in China ( 4 Messages)