The Shanghai GM joint venture between Shanghai Automotive Industry Corporation and General Motors has enjoyed a top year in 2007, selling more than one million vehicles in China. It's the first occasion that any car company represented in China has sold in excess of six figures in just the one year.
'The General' has struggled recently with a financial report card that effectively reads: "D+, must try harder", but the news is all good for the multinational in the world's fastest growing automotive market.
Of particular interest to Australians, the one millionth car was a Buick Park Avenue, a Chinese-built version of the Holden Statesman. Furthermore, expat Aussie Kevin Wale was present to shake the hand and present the keys of the Park Avenue to the buyer, Mr Zhang Jianping. Wale is a former Holden employee who made good at Vauxhall before accepting the post of GM China Group President and Managing Director.
Contrary to the flagging fortunes of the Buick brand on its home turf in North America, Buick is well regarded in China.
Mr Zhang commented on the brand perception in China when he said: "This is my second Buick and I appreciate the performance, safety and durability of Buick."
"After comparing other products in the premium segment for my next car, it made perfect sense to choose the Park Avenue."
GM's success in China more or less reflects the tremendous growth in the market, with the global concern selling barely 100,000 units just five years ago. 2007 is doubly significant for GM, as it also marks the 10th anniversary of the joint venture with SAIC.
GM shares market leadership in China with the VW Group. According to VW, the group delivered 974,100 vehicles in the Asia Pacific region in 2007; 26.4 per cent more than in the first eleven months of '06. Of this figure, 845,400 vehicles were sold to customers in China alone.
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