Finding ways to get cars to market with less expense and more profitability is the name of the game. General Motors is going to build more and more cars overseas as part of its restructuring plans, and that China was one of the first places they'd look.
As reported, General Motors is considering bringing its low-cost, high-volume vehicles from China to the U.S. in order to bolster its sales in the segment. Currently, the carmaker is looking to sell around 17,300 Chinese-made vehicles in the U.S. by 2011 and over 50,000 units by 2014. Until now, however, it was uncertain just what type of vehicles the carmaker would be bringing to local showrooms.
Speaking with the Detroit Free Press, a senior Global Insight market analyst in Shanghai predicted that GM would likely bring Chinese-built versions of the Chevrolet Spark and next-generation Aveo, as well as another small car called the Lova. Under such a plan, the cars would be produced by GM’s partners in China, Shanghai Auto Industry Corporation (SAIC) and Liuzhou Wuling Auto.
While the predictions about these cars comes from a reputed market intelligence company, other analysts are not quite so sure about GM's overall plans to import cars from China, however. One analyst from a Shanghai based company stated that GM's "export aspirations are a marketing tactic, not a real solid opportunity", but that they were "certainly a possibility in the future."
Furthermore, the news has angered local unions which believe that taking government support but then outsourcing jobs to China is an underhanded move. However, remaining competitive is GM's ultimate long term goal, and should it pursue Chinese imports then it will likely be the first major carmaker in the U.S to do so.
As reported, General Motors is considering bringing its low-cost, high-volume vehicles from China to the U.S. in order to bolster its sales in the segment. Currently, the carmaker is looking to sell around 17,300 Chinese-made vehicles in the U.S. by 2011 and over 50,000 units by 2014. Until now, however, it was uncertain just what type of vehicles the carmaker would be bringing to local showrooms.
Speaking with the Detroit Free Press, a senior Global Insight market analyst in Shanghai predicted that GM would likely bring Chinese-built versions of the Chevrolet Spark and next-generation Aveo, as well as another small car called the Lova. Under such a plan, the cars would be produced by GM’s partners in China, Shanghai Auto Industry Corporation (SAIC) and Liuzhou Wuling Auto.
While the predictions about these cars comes from a reputed market intelligence company, other analysts are not quite so sure about GM's overall plans to import cars from China, however. One analyst from a Shanghai based company stated that GM's "export aspirations are a marketing tactic, not a real solid opportunity", but that they were "certainly a possibility in the future."
Furthermore, the news has angered local unions which believe that taking government support but then outsourcing jobs to China is an underhanded move. However, remaining competitive is GM's ultimate long term goal, and should it pursue Chinese imports then it will likely be the first major carmaker in the U.S to do so.
Along with the rise in Chinese-made vehicles for U.S. sale, Mexican-made cars and trucks would increase significantly as well, from the current 317,000 to 501,000 by 2014, while cars made in South Korea for the American market would increase almost five-fold from 36,000 to 157,000 by 2014.
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