SAIC-GM-Wuling to
Build Third Manufacturing Base in Chongqing
SHANGHAI –
SAIC-GM-Wuling announced that it will build a third manufacturing base
in Chongqing Municipality to keep pace with the rising demand for its
vehicles.
The joint venture
between GM China, SAIC and Wuling Motors will begin construction of its
new facility early next year, pending relevant government approvals. The
RMB 6.6 billion first phase is scheduled to open in 2015. The facility
will have an annual production capacity of 400,000 vehicles and engines.
It will adopt GM’s global manufacturing processes and standards. SGMW
will discuss which models will be built closer to the start of
production.
SGMW currently operates manufacturing
bases in Liuzhou, Guangxi Zhuang Autonomous Region, and Qingdao,
Shandong. The production base in Chongqing will give SGMW a strategic
position in southern, northern and Midwestern China. It will enable SGMW
to reach its production target of 2 million vehicles per year by the end
of 2015.
SGMW has been China’s leading
mini-commercial vehicle producer since 2006. In 2009, it became the
first vehicle manufacturer in China to sell 1 million vehicles in a
calendar year. SGMW had year-to-date sales of 1,311,489 units in the
domestic market with a 47.5 percent of China’s commercial
mini-commercial vehicle segment. It is on track to top last year’s
record domestic sales of 1,285,820 vehicles.
Chongqing Municipality, formerly part of
Sichuan province, is one of China’s largest cities and an industrial
center in Midwestern China. It has well-established infrastructure, a
favorable investment environment and a developed automotive components
industry.
