SAIC-GM-Wuling Inaugurates New 300,000-Unit Plant for 1.1L and 1.2L Engines

2 July 2007

The Hong Tu minivan will be the first from SGMW to feature the new engines.

SAIC-GM-Wuling (SGMW), GM’s mini-vehicle joint venture in the southern Chinese city of Liuzhou, Guangxi Zhuang Autonomous Region, inaugurated its new RMB 2 billion (US$263 million) 300,000-unit engine plant. The facility is scheduled to officially begin production of 1.1-liter and 1.2-liter engines in August.

The first vehicle to feature the engines will be the Wuling Hong Tu. The new minivan was designed in Shanghai by GM’s Pan Asia Technical Automotive Center (PATAC) joint venture and made its debut last November at Auto China 2006 in Beijing.

All engines currently powering our products are bought from outside suppliers. Having our own engine plant will allow us to shorten the development time for new products.  This will help ensure SAIC-GM-Wuling’s long-term sustainable growth.

—Shen Yang, SAIC-GM-Wuling General Manager

SAIC-GM-Wuling was founded in 2002.  GM China owns 34.0%, SAIC owns 50.1% and Wuling Motors owns 15.9%.  The joint venture manufactures the Sunshine, New Sunshine, 6360 and Little Tornado models as well as the Chevrolet Spark mini-car.

It is the only facility in GM’s global network that manufactures low-cost mini-commercial vehicles.  In 2006, SAIC-GM-Wuling sold 460,155 vehicles, making it the sales leader among domestic mini-vehicle producers.