China: Shanghai GM begins construction on $1.1bn car plant image

Shanghai-GM, the joint venture of China’s SAIC Motor and General Motors (GM) has begun construction on a new $1.1bn (CNY7bn) manufacturing facility in Wuhan city, Hubei – China.

The new facility will spread across an area of 2.32km2 in the city’s Jingang New District and after completion in 2014 it will increase the carmaker’s annual production capacity to 300,000 units.
It will include press, body, paint and general assembly shops as well as support facilities. The plant will adopt GM’s advanced global manufacturing processes along with world-class production and management systems from Shanghai GM.

Shanghai GM has projected an annual output of 2 million units by 2015. In order to realize thisgoal, its Shanghai plant recently added 240,000 units of production capacity on May 30. An expansion project is also underway in its Shenyang plant.

Shanghai GM is a joint venture between GM and Shanghai Automotive Industry Corp. Group (SAIC) that was formed in June 1997. It builds, imports and sells a comprehensive range of Buick, Cadillac and Chevrolet products.

United States (US) auto giant General Motors (GM) said on Tuesday that its China sales for May hit a record 231,183 vehicles, despite a looming slowdown in the world’s second largest economy.
Sales were up 1.7% from April. For the January-May period, GM reported sales of 1.2 million vehicles, up 12% from a year earlier.

China’s nationwide vehicle sales rose just 2.5 per cent to 18.51 million units in 2011, compared with an annual increase of more than 32 per cent in 2010.

  • R.G. Beasley

    The only comment I wish to make is that we the people of the U.S. should not buy GM vehicles made in china. Let them design their own! We are outsourcing or very lives to
    these orientals which are about the cheapest labor force in the whole world and they are commies to the core, cut and dried with no room for any talks on anything but sell, sell, sell!