GM signs agreement to export US-built vehicles and components to China
Our Corporate Bureau
25 September 2007
Mumbai: General Motors Corp. and its Shanghai General Motors joint venture today signed a multi-year agreement worth more than $800 million to export US-built Buick Enclave premium crossover sport utility vehicles along with other vehicles and components to China, beginning in 2008.
The agreement was signed in the presence of China's assistant Vice Minister of Commerce Chen Jian, Chinese embassy officials, US Assistant Secretary of Commerce, Israel Hernandez, GM Vice President of Global Sales, Service and Marketing Operations, John Middlebrook, and Shanghai GM Executive Vice President, Robert Socia.
The all-new Buick Enclave is built at GM's Lansing Delta Township assembly plant in Lansing, Michigan. Enclave is one of GM's most sought-after vehicles in North America because of its stylish, modern design and high level of standard features. Introduced earlier this year, the Enclave has received enthusiastic reviews, and has helped lead General Motors' recent sales increase in its home market.
According to Shanghai GM President Ding Lei, "Shanghai GM has become a leader in the production and sale of passenger cars in China, driven largely by the success of the Buick brand. These new Buick premium sport utility vehicles will strengthen our lineup and enable us to continue to meet the changing needs of our growing base of customers."
The Buick agreement is the second of two China export agreements signed by GM this year. In May, GM signed a deal to export $700 million worth of Cadillacs and automotive components to China from the United States. GM's China operations have already imported about $3.5 billion worth of vehicles, components, equipment, and machinery from North America over the past 10 years.
"We appreciate the support that we received from the Chinese and the US governments for this programme, which will benefit both countries," said Kevin Wale, President and Managing Director, GM China Group. "It will take the value of GM sourcing contracts from the United States for the China market to more than $1.5 billion this year."