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Old 7th October 2009, 02:01   #1
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Default Chinese Auto Manufacturer to buy controlling stake in GM India? EDIT - Sold 50%

Shanghai Automotive Industry Corporation has supposedly bought a controlling stake in GM India. The Talegoan plant can manufacture upto 140,000 units per annum according to Autocar India.
There is a possibility that the Chinese may enter the Indian market with a 'Wuling' mini-van/pick-up truck.
It would make logical sense for the Indian government to make offset crash-test mandatory for all cars in India -- this way we are being protectionists without explicitly stating our protectionist policies .

A Chinese company having a controlling stake in India could mean two things : Consumers aware of this fact may not consider other GM brands to be good or competitive. The Chinese may capture a small portion of the LCV market with the Wuling pick-up. Hope they don't re-christen the wuling to a chevy.
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Old 7th October 2009, 10:12   #2
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Unlikely, unbelievable.

Have yet to receive the Oct Autocar issue but even if I were to read this would find it hard to digest.

Can some ones else substantiate this. Somehow does not ring true.
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Old 7th October 2009, 10:30   #3
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Yes. It is mentioned in ACI October issue.
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Old 7th October 2009, 10:31   #4
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GM has been looking at the success of the sub 1 tonne commercial vehicle market - the Tata Ace / Magic. THe WUling is manufactured in China in a JV and (now) exported from China. The problem for this vehicle is that the engine is much larger than the Ace/Piaggio Truk which could make it uncompetitive price wise and fuel economy wise in the Indian market.

AFAIK GM India has not been sold,Slym is still there.
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Old 8th October 2009, 11:32   #5
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Chinese even have the Hummer under them now. I hope they don't mess it up.
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Old 8th October 2009, 11:56   #6
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Yep received the ACI yesterday and it is in it, along with a big article about GM in China, but somehow does not seem logical and I still feel that it would not come through, considering the way Indians look at china as a brand.
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Old 15th October 2009, 16:46   #7
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Default Rumour: Chinese Co. SAIC to buy into GM India!!!

If rumors are true it seems Shanghai Auto Industry Corporation will be buying into GM India and will have controlling stake of its new Talegaon plant. An announcement is expected soon from SAIC in this respect.
This will be a major coup by SAIC and will give them immedeate access to GMs manufacturing facility as well as its nation wide sales and service network. GM India on the other hand gets much needed financial support from a richer partner.
The reports suggest that SAIC's Wuling range of cars will be introduced in India, 上汽通用五菱 ,a range of ugly looking versa type vans in various sizes.
SAIC had earlier brought controlling stake in SangYong but abandoned the firm after the company ran into financial troubles.
It will be an interesting proposition for Indian consumers if the deal happens and Wulings are sold along with Chevrolets.

Sources:
:: AUTOCAR INDIA - CAR AND BIKE MAGAZINE ::
Rumored: Shanghai Auto Now Allied With GM India
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Old 15th October 2009, 18:52   #8
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Seems like only a rumour? I think the title should be updated to reflect that.
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Old 15th October 2009, 19:46   #9
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Basically if this happens everybody will have the doubt on the reliability and GM will lose the market.In India, china product is a cheap and use & throw with no warranty.

So GM have to be much careful in this.
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Old 15th October 2009, 20:59   #10
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News is that GM has tied up with SAIC. If these chineese company comes to India and start selling product then I think most of the time our car will be in Garage/Service station. It is also a big threat for Indian Economy.
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Old 21st October 2009, 00:21   #11
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Default GM considering expanding SIAC ties to India!

GM considering expanding SAIC ties into India
With more established auto markets not showing any signs of sales growth, most of the worlds automakers are focusing their efforts developing regions. General Motors already has a strong presence in China thanks to a tie-up with Chinas SAIC Motor Corp. and is now said to be taking aim at the Indian market.

General Motors has reportedly begun talks with SAIC to expand their operations into India. The move would see SAIC investing in General Motors India, according to Indias Economic Times.
GMs discussions with SAIC include business opportunities in India, but no final decision has been made on how they will cooperate, an inside source revealed.
The move seems like a logical step for both GM and SAIC. The two automakers currently produce Cadillac, Chevrolet, Buick and Wuling vehicles in China and have been quite successful particularly this year. SAICs sales have jumped 47 percent this year with GM tallying a 55 percent improvement. Moreover, most analysts expect India to knock off China as the worlds largest auto market in the coming years.
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Old 21st October 2009, 15:54   #12
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I think the primary GM is interested in SAIC buying a stake is the cash injection. GM has a very good small car portfolio, Spark, UVA and the upcoming new Spark. The problem GM has is selling enough cars and not the lack of models, heck they have a model in every segment.
I dont see how selling Wulings will help GM. But SAIC has played real smart, theyve used their financial power and perhaps GMs desperation for funds to good effect, overnight they get an all India network of dealers/service centres and also GMs new factory at Talegaon.
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Old 2nd November 2009, 14:40   #13
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Default SAIC Taking a Stake in GM India. What are the implications?

Guys, We all know the GM India has become aggressive than ever before. They have already lined up the Beat, Spark 800cc and Spark Electric for launches one by one in the next year, enough to keep the interest in this brand alive. Don't forget the Cruze which has got good reviews and a decent number of bookings. I just saw this news.

Now this news is getting hotter than ever. Shanghai Automotive Industry Corporation (SAIC) is buying a stake in GM India. This means a lot. SAIC is a Chinese car gaint and has got manufacturing co-operation with GM and VW in China which are the two largest companies there in terms of sales. SAIC partnered with General Motors to form Shanghai GM, SAIC-GM-Wuling Automobile, and the Pan-Asia Technical Automotive Center. SAIC also partnered with Volkswagen Group in the formation of Shanghai Volkswagen Automotive. SAIC also acquired the Biritsh car maker MG Rover in 2007 and releases an upgraded Rover 750 called the Roewe.
GM sells the Spark already in China and the Beat too will sell there soon. GMI could very well source components from Chhinese suppliers at competitive prices and also it has been speculated that the Wuling range of LCV's could also make it to India. The intent of GM India could hardly have been doubted with the strong range of small cars it is going to put in the market in 2010. With this merger, there are numerous possibilities and we could only wait and watch the action. SAIC makes all the VW's and Skoda's in China. It also makes Daewoo's, Opels and numerous Buicks there in addition to the Roewe sedan. Do your math. Here is the link.. Ϻҵţܹ˾||Saicgroup

Source: SAIC In GM India?

What are the implications? Can we see some more Chinese cars subsequently on our roads after this or it is just those Wuling trucks?
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Old 2nd November 2009, 14:46   #14
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A lot of affordable vehicles from GM stables. Some good competition to Winger/Traveller and also to the Versa when Wuling comes down.
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Old 2nd November 2009, 15:30   #15
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What about cars? Any chances of newer models because I don't believe they have some genuine models of themselves. They just have tie-ups.
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