GM eyes rapid growth in China

UNITED States-based General Motors aims to be more competitive against Toyota Motor Corp, the world's biggest auto maker, by leveraging the rapid growth in the Chinese market.
Dan Akerson, chairman and chief executive officer of GM who faced the Chinese media for the first time yesterday in Beijing, said that China is central to the car maker's global strategy.
"China is a unique market sitting in what I think is probably the highest growth area in the next 10, 20, 30 years in Asia," Akerson said. "We want to understand the preferences that the China market wants."
China, the world's largest auto market, contributed a lot to GM's global recovery last year with 2.3 million vehicles sold in the country, up 29 percent from a year earlier. The robust sales helped China to replace the US to be its biggest market.
In January, GM reported a record high monthly sales of 268,071 units in China.
However, GM's growth may ease this year because the Chinese government has scrapped stimulus on small cars and rural purchases while some cities have quota sales to battle traffic problems.
To maintain its growing momentum, Akerson said GM will introduce 20 brand new or upgraded models in China over the next two years and seek expansion in new areas such as the luxury market, entry-level car segment and commercial vehicle markets.
New-energy vehicles, including the Chevrolet Volt extended-range electric vehicle, will also be launched in the Chinese market at the end of this year.
GM has set up an advanced research center in Shanghai for developing new energy vehicles and batteries.
Last year, GM's global sales powered 12 percent to 8.39 million units helped by strong growth from China, Russia, India and Brazil. Overseas markets accounted for 73 percent of its global sales.
GM partnered Shanghai Automotive Industry Corp in China, manufacturing cars under the Buick, Chevrolet and Cadillac brands.
Source:Shanghai Daily