SAIC – GM relationship not as hot as before?

Shanghai Automotive Industry Corporation, Shanghai GM | Ash | September 20, 2007 at 2:09 pm

Could it be that General Motors is not happy with its Chinese partner, SAIC? GM have just signed a deal with SAIC arch rivals FAW to create commercial vehicles in China. In addition, GM are also creating a research and design center which will allow GM to benefit from lower R&D costs.

GM is not doing too bad in China, its latest move could be seen as a defensive move as SAIC begins to create and really push its own brand of cars (Roewe) into segments such as the executive cars where the likes of Buick has been dominant for quite a few years.

Ash

Ash came to China at 18 on a whim and never left. Some 10 years later he collected a degree and a family along the way and now focuses his time on watching the Chinese car industry develop. He has witnessed the market change from being minor backyard market in to the world's biggest and most important market for all car manufacturers. You can contact or connect with him via Linkedin by clicking the 'Website' link.

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