Manufacturing News

SAIC-GM-Wuling completes plant expansion, boosts annual capacity to 1.1 million units

SAIC-GM-Wuling Automobile Co. has raised its annual production capacity by 23 percent to 1.1 million units after completing the expansion of its plant in the east China city of Qingdao last week.

The Qingdao plant now can produce 510,000 vehicles year, up from 300,000 units previously, according to GM China. The plant expansion cost 1.1 billion yuan ($173 million).

SAIC-GM-Wuling is a joint venture among GM China, Shanghai Automotive Industry Corp. and Liuzhou Wuling Motors. The partnership, which was established in 2002, is headquartered in the southwest China city of Liuzhou.

In addition to the Qingdao facility, GM has a second plant in Liuzhou that also is undergoing expansion.

Upon completion of the expansion late next year, the Liuzhou plant will increase its annual production capacity to 800,000 units from now 590,000 units.

That will raise the joint venture's annual production capacity to 1.3 million units.

In the first nine months of 2011, the partnership sold 895,483 microvans and mini-trucks, making it by far the largest micro commercial vehicle maker in China, according to J.D. Power.

Aside from microvans, the venture has begun producing the Baojun 630 compact sedan. Sales volumes of the car are not available.

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