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SAIC-GM-Wuling completes expansion of Qingdao mini-commercial vehicle facility; 70% increase in capacity

SAIC-GM-Wuling (SGMW) completed the expansion of the second phase capacity expansion of its manufacturing facility in Qingdao, Shandong. The project, which represented investment of RMB 1.1 billion (US$173 million), has increased the production capacity of SGMW’s Qingdao plant by 70% to 510,000 vehicles annually. It will help SGMW keep up with the strong demand for its Wuling brand mini-commercial vehicles.

The Qingdao plant opened in June 2005. It complements SGMW’s original manufacturing base in Liuzhou, Guangxi. Among the products manufactured in Qingdao are the Wuling Rong Guang, Wuling Xingwang and Wuling PN-Series minivans.

Since its establishment, the facility has produced 1.3 million vehicles, along with 860,000 engines. More than 850,000 Wuling Rong Guangs have been sold since the model’s launch in 2008, making it the fastest-growing vehicle nameplate in China. In addition, mini-commercial vehicles manufactured at the facility are being sold in a growing number of GM markets worldwide.

The Qingdao plant is one of GM’s biggest vehicle production facilities anywhere in the world.Of all our facilities, this plant stands out as a global GM benchmark for low-cost manufacturing, throughput and innovation. The vehicles produced here have helped make GM the global industry leader in China for six straight years.

—GM Chairman and CEO Dan Akerson

SGMW, a joint venture between GM China, Shanghai Automotive Industry Corporation Group (SAIC) and Wuling Motors, was established in 2002. SGMW manufactures a range of Wuling brand mini-trucks and minivans as well as the Baojun 630 midsize sedan and Chevrolet Le Chi mini-car. In 2010, SGMW had record domestic sales of 1,226,860 vehicles. On October 14, SGMW became the first vehicle manufacturer in China to sell 1 million units in the domestic market in 2011.

Comments

HarveyD

Very strong growth in a depressed world economy.

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