GM Eager for 15.9% Additional Stake In Chinese Minivan Producer - VIDEO ENHANCED

EDITOR'S NOTE: On November 14th, Bob Lutz, GM's Vice Chairman of Global Development, gave a speech at the Western Automotive Journalists' monthly meeting in San Francisco. He made several key remarks about the Chinese auto industry and how GM views the opportunities that exist. To watch the presentation CLICK HERE.

SHANGHAI - December 3, 2007:

General Motors is in talks with local government to buy another 15.9 percent stake in its joint-venture SAIC-GM-Wuling (SGMW), Chinese newspaper 21 Century Economic Report said.

The report cited General Motors CEO Rick Wagoner as saying that the GM aims to make SGMW a global export hub of mini vehicles in the future. To reach this target, GM is negotiating with the provincial government of Guangxi Automobile Region on a stake purchase deal.

Founded in 2002, SAIC-GM-Wuling is based in Liuzhou, Guangxi Zhuang Autonomous Region in southwestern China. SAIC (Shanghai Automotive Industry Corp) holds 50.1 percent stakes of the company while General Motors holds 34 percent and provincial government of Guangxi holds the remaining 15.9 percent stakes.

The joint venture automaker produces Wuling brand minivans, Wuling brand mini-trucks and Chevrolet Spark mini-car.

For more information about the burgeoning auto industry in China please visit http://www.gasgoo.com/Autobiz/list/7/China-News.html