General Motors has recently announced that it would be adding four more car production plants in the next three years in China. With the new plants, the production capacity of the company would increase to five million vehicles annually.
This announcement was confirmed by the head of General Motors China, Bob Socia. He said that General Motors and its joint venture partners would be investing US$11 billion in China by 2016. He did not elaborate on the costs of the plant to be built or where they are to be built.
The joint venture would also expand the number of dealerships for its vehicles from 3,800 to 5,100 by the end of 2012. The focus of the growth would be manufacuring sport-utility vehicles and other luxury vehicles. It is projected that they would be producing nine new or redesigned SUVs in the next half decade.
According to Mr. Socia, "Going forward we are focusing on two market segments - luxury and SUV. We expect Cadillac sales to go from 30,000 last year to 100,000 in 2015."
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