General Motors Sets Company Sales Record in China in 2008

SHANGHAI, China – January 7, 2009: General Motors and its joint ventures sold 1,094,561 vehicles in China in 2008. This is a record for GM in China and the second consecutive year that its sales in the company’s second-largest market topped 1 million units. GM remained the leader among global automakers in China for the fourth straight year.

GM benefited from the continued strength in China of its Chevrolet brand, which achieved growth of 15.7 percent to 199,155 units, and the Wuling brand, which grew 17.4 percent to 606,499 units.

“We are pleased with our sales growth in 2008, which occurred despite an overall market slowdown,” said Kevin Wale, President and Managing Director of the GM China Group. “A series of natural disasters and an increase in fuel prices earlier in the year exacerbated the impact of the global economic downturn in China.”

Domestic sales of vehicles from GM’s SAIC-GM-Wuling mini-commercial vehicle joint venture rose 17.9 percent last year to 647,296 units, keeping SAIC-GM-Wuling atop the segment for the third consecutive year. The Wuling Sunshine minivan was China’s best-selling vehicle in 2008 and the first to surpass 400,000 units in sales in a calendar year.

Domestic sales by Shanghai GM, GM’s passenger car joint venture, totaled 445,709 units in 2008. Sales were down from 2007 due to limited new model introductions. Shanghai GM will be completely renewing its product portfolio over the next few years, starting with the recently released Buick New Regal and Buick Enclave, and the recently announced Chevrolet Cruze.

“Over the next two to three years, we will roll out five or more new products under both of our volume brands, Buick and Chevrolet. These models are being engineered in China for the domestic market by our Pan Asia Technical Automotive Center (PATAC) joint venture,” said Wale. “Our four other brands (Cadillac, Opel, Saab and Wuling) will also bring out new and upgraded models to meet the rapidly changing needs of vehicle buyers nationwide.”

To keep up with the rising demand for its current and future products, GM and its joint ventures completed several important projects, including the expansion of SAIC-GM-Wuling’s plant in Qingdao and Phase II of its Liuzhou West Plant. In addition, Shanghai GM (Shenyang) Norsom Motors’ second vehicle manufacturing plant opened and its first Chevrolet Cruze rolled off the production line on December 17.

GM and its joint ventures also moved forward on other key programs, including construction of Shanghai GM’s proving ground in Anhui province, SAIC-GM-Wuling's new engine plant in Qingdao, and the GM Asia Pacific and GM China Headquarters and Center for Advanced Research and Science in Shanghai.

According to Wale, “While we expect vehicle sales in China to remain steady in 2009, we anticipate China remaining the world’s fastest-growing major market over the next decade. GM will stay aggressive to ensure we continue to be a leader in this key market for our company.”