Shanghai GM Co., a 50:50 joint venture between General Motors and China’s SAIC Motor Corp., said it plans to spend 100 billion yuan (US$16.14 billion) in new-car development over five years.
“Our five-year business plan to 2020 will have 100 billion yuan invested in new products and plants to make sure that we meet the China consumers’ needs,” the Wall Street Journal quoted John Stadwick, vice president of sales at Shanghai GM, as saying ahead of the Shanghai auto show.
The company aims to develop at least 10 all-new or face-lift models each year in the five years through 2020, according to the report.
Last year, GM said it intends to invest US$14 billion from 2014 through 2018.
A spokeswoman for GM in China was quoted as saying that the investment announced Sunday is different from the previous plan.
Of the 100 billion yuan investment, 26.5 billion yuan will go toward bringing green technologies to China.
With the investment, Shanghai GM expects to grab a minimum 10 percent share of China’s market for passenger cars, the report said.
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