PLANT

SAIC-GM to build third Chinese manufacturing plant

Facility in Chongqing will have a capacity of 400,000 vehicles to keep up with rising demand.


SHANGHAI—SAIC-GM-Wuling will build a third manufacturing base in the Chinese municipality of Chongqing to keep pace with the rising demand for its vehicles.

The joint venture between General Motors China, SAIC and Wuling Motors will begin construction of the new facility by early 2013, pending government approval, and is scheduled to open in 2015.

The facility, in one of China’s largest cities and industrial centres, will have an annual production capacity of 400,000 vehicles and engines, and will adopt GM’s global manufacturing processes and standards. There’s no word yet as to which models with be built at the plant.

SGMW currently operates manufacturing bases in Liuzhou, Guangxi Zhuang Autonomous Region, and Qingdao, Shandong.

The production base in Chongqing gives SGMW a strategic position in southern, northern and Midwestern China, and enable it reach its production target of 2 million vehicles per year by the end of 2015, the company says.

GM sold more than 2.5 million vehicles in China in 2011.