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GM Investment in China Successful: Chairman & CEO
General Motors' (GM) investment in China has created a win-win situation for both GM and China's auto industry, Philip Murtaugh,chairman & CEO of GM China, said in an interview with Xinhua.

It is the largest Sino-American joint venture in this country with total investments of 1.52 billion US dollars. Murtaugh has been closely involved with the venture for some time and his relationship with his Chinese partner has been very successful. He describes the achievements made by GM China as highly commendable.

The success of GM China is evidence of the improvement in China 's investment environment and the government's determination to expand economic cooperation with other countries, including the United States, Murtaugh said.

Shanghai GM set a new record for China's auto industry in December 1998 by producing its first Buick 23 months after the founding of the joint venture.

Since 1999, Shanghai GM has launched a new model each year. Its low-cost Sail has catered specifically to the needs of Chinese customers.

Last year, Shanghai GM sold 58,000 Buicks and Sails, and sales are expected to hit 80,000 in 2002, Murtaugh said.

China's World Trade Organization entry has given more scope for cooperation between GM and the Chinese auto industry to the benefit of Chinese drivers, he said, noting that GM plans to introduce its expertise in diversified sales models and services to China.

The 5th anniversary of the founding of Shanghai GM this year will see increased competition in China's auto market, but GM is highly confident that it will continue to be successful in China with its product and service advantages and with the country's rising consumer purchasing power.

(China Daily February 17, 2002)

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