General Motors Co announced that the company is entering into China first time by introducing SUV models and will import different models to the world’s biggest car market.
GM is changing its tactics to be stable by selling its vehicles to china which is performing well financially during the pandemic.
GM is planning to launch four models into china to improve its brand image and sales recovery. The four models will be Chevrolet’s Tahoe and Suburban, Cadillac’s Escalade and the GMC Yukon Denali
The company is going to introduce these models at the China International Import Expoan annual import show in Shanghai on Wednesday.
GM’s China chief Julian Blissett said that they want to see how the customer reacts to our vehicles in the expo. He Said that China is a bigger market for SUV because Chinese families are expanding.
GM’s growth in the third quarter was driven by the sales of its Buick and CadillacSUVs in China which increased up to 12%.
China is the biggest market for automobiles where 25million vehicles were sold last year and foreign companies such as Volkswagen AG, Toyota and local leaders Geely and Great Wall are in tough competition with each other.
The China economy has bounced back after the pandemic and auto sales has been increased in recent months. The GM wants to sale his premium brands officially whereas Previously GMC vehicles were only sold in the country via unofficial grey importers
The Company said that entering into the Chinese market will not change the company’s basic production strategy in China in near future. GM producesBuick, Chevrolet and Cadillac vehicles in a joint venture with SAIC Motor Corp Ltd making
GM expecting strong growth in the last two months of 2020 in china after positive sales in October. The GM is also planning to export Chinese made electrical vehicle globally.