GM Rides Fast Start to Big Profits in China

17/02/2005

GM's Aggressive approach secures 11 percent of market, coming second after Volkswagen AG, the pioneer and longstanding leader in China, but Toyota is gearing up to contend.
When China's auto market showed the first real signs of growth in the 1990s, General Motors Corp. jumped at the opportunity.

GM got a break from the Chinese government, which paired the U.S. automaker in 1997 with a strong local partner, Shanghai Automotive Industry Corp.

Together, the two automakers invested heavily in factories, introduced a broad lineup of Buick, Chevrolet and now Cadillac vehicles and set up dealerships. By the end of 2004, they had captured 11 percent of the market, coming second after Volkswagen AG, the pioneer and longstanding leader in China.