General Motors expands in China

[stephanie]

General Motors has signed up to a 2bn yuan ($293m; £180m) joint venture with the Chinese state-owned carmaker FAW to make light trucks and vans.

The vehicles will initially be sold in China under the FAW brand, but could in future be exported under the GM brand.

They will be produced at existing FAW facilities in the cities of Changchun and Harbin.

GM sold 818,442 vehicles in China in the first six months of 2009, compared with 1,094,561 in the whole of 2008.

Demand was particularly strong for its minivans and other small vehicles.

"For us in China, this is an important complement to the rest of our portfolio," said Kevin Wale, managing director of GM's Chinese operations.

"We are well established in passenger vehicles and mini commercial vehicles and we haven't had a presence in the truck segment."

GM makes Buick, Chevrolet and Cadillac vehicles in a joint venture with Chinese manufacturer SAIC Motor Corp.

It also makes minivans, pick-up trucks and the Spark compact car in a venture with SAIC and Liuzhou Wuling Automobile.

GM has recently emerged from bankruptcy protection in the US and has seen its sales fall year-on-year in most of its Western markets, so China is a key area of growth.

http://news.bbc.co.uk/2/hi/business/8229353.stm

[Missileman]

General Motors has signed up to a 2bn yuan ($293m; £180m) joint venture with the Chinese state-owned carmaker FAW to make light trucks and vans.

The vehicles will initially be sold in China under the FAW brand, but could in future be exported under the GM brand.

They will be produced at existing FAW facilities in the cities of Changchun and Harbin.

GM sold 818,442 vehicles in China in the first six months of 2009, compared with 1,094,561 in the whole of 2008.

Demand was particularly strong for its minivans and other small vehicles.

"For us in China, this is an important complement to the rest of our portfolio," said Kevin Wale, managing director of GM's Chinese operations.

"We are well established in passenger vehicles and mini commercial vehicles and we haven't had a presence in the truck segment."

GM makes Buick, Chevrolet and Cadillac vehicles in a joint venture with Chinese manufacturer SAIC Motor Corp.

It also makes minivans, pick-up trucks and the Spark compact car in a venture with SAIC and Liuzhou Wuling Automobile.

GM has recently emerged from bankruptcy protection in the US and has seen its sales fall year-on-year in most of its Western markets, so China is a key area of growth.

http://news.bbc.co.uk/2/hi/business/8229353.stm

I wonder if we paid for some "cash for rikshaws" program without our knowledge?

[Mr. P]

Nice to see our bail-out $$$ stays right here in the USA.
I guess that "Hope & Change" was for other Countries. They failed to tell you that. And where are all those "shovel ready" jobs anyway?

[stephanie]

we are getting hosed with no vaseline..here's to Hope and Change..

[Noir]

Nice to see our bail-out $$$ stays right here in the USA.
I guess that "Hope & Change" was for other Countries. They failed to tell you that. And where are all those "shovel ready" jobs anyway?

So you would rather they turned this deal down?

[Mr. P]

So you would rather they turned this deal down?

They should have never been given bail-out $$$..that was suppose to save them and protect jobs. Didn't work that way and they still got the $$$.

[Noir]

They should have never been given bail-out $$$..that was suppose to save them and protect jobs. Didn't work that way and they still got the $$$.

Nice way to not answer my question.
Regardless of whether or not you think there should of been a bail out, do you think that GM should of turned down this contract?

[Mr. P]

Nice way to not answer my question.
Regardless of whether or not you think there should of been a bail out, do you think that GM should of turned down this contract?

Not if they intent to use the profit to pay back the bail-out $$$.

[Little-Acorn]

When people in China have a LOT of money and want to buy the fanciest, most luxurious car they can, they don't buy a Lexus, or Rolls-Royce, or even a Cadillac, though all those are available.

They buy a Buick.

Don't ask me why.

[Insein]

Its great that they are expanding and making money, but like Mr. P said, why did they need our bailout money to do it? More and more it looks like a big payoff by the president to the UAW and now the government owns GM.