GM's China Growth Better Than Expected

[Variance]

GM's China Growth Better Than Expected

General Motors expects to beat its vehicle sales growth forecast for China this year thanks to the strong market, Kevin Wale, president and managing director of GM China Group, told reporters on Wednesday.

The world's biggest car maker had been projecting 20 percent growth in its cars and commercial vehicles this year but now expects growth in China to be "significantly more" than that, Wale said on the sidelines of an Automotive News conference.

Read "GM sees 2006 Chinese sales growth above 20 percent" @ Yahoo

[evok]

I wonder what the BM has to say about this.

I did not see China in the Return to Greatness.

Anybody think Wags should get a kudos?

[ZL-1]

Anybody think Wags should get a kudos?

Sure! Not only growing sales, but also growing market share, where the market has more growth potential. This is the stuff that will ensure GM's long-term future.

[evok]

Sure! Not only growing sales, but also growing market share, where the market has more growth potential. This is the stuff that will ensure GM's long-term future.

This might be the stuff that also ensures GM should remain the global leader in sales in the near future.

[Drew Dowdell]

The Chinese have more than a few hard feelings towards the Japanese. Toyota and Honda will have a harder than normal time selling there. The Chinese will likely go American, European, or Korean before they'd buy Japanese.

[evok]

The Chinese have more than a few hard feelings towards the Japanese. Toyota and Honda will have a harder than normal time selling there. The Chinese will likely go American, European, or Korean before they'd buy Japanese.

Also as an uphill battle it will be for Cadillac to get into the Euro-market it has been just as hard for the Japanese to gain a really strong foot hold when compared to their growth in the US.

[Shantanu]

I wonder what the BM has to say about this.

I did not see China in the Return to Greatness.

Anybody think Wags should get a kudos?

How much money is GM making in China?

A profit of $500 million there is not going to turn around losses in the billions here in America where half their business is.

[Imaj]

The Chinese know a good car when they see it. I hope GM continue its growth globally, there might be no hope in stopping the sliding market share in NA.

[evok]

How much money is GM making in China?

A profit of $500 million there is not going to turn around losses in the billions here in America where half their business is.

This is called investment into the future. China and in general GM's AP operations are growth markets. The US and E are mature stagnat markets where GM will need to adjust their costs to the real demand.

Years Ended December 31,

2005 2004 2003

GM as GM as GM as

a % of a % of a % of

Industry GM Industry Industry GM Industry Industry GM Industry

(Units in thousands)

United States

Cars

Small 2,370 490 20.7% 2,256 456 20.2% 2,339 487 20.8%

Mid-size 3,740 1,007 26.9% 3,714 1,190 32.0% 3,681 1,240 33.7%

Sport 424 58 13.6% 403 59 14.6% 420 32 7.5%

Luxury 1,208 197 16.3% 1,190 180 15.2% 1,197 202 16.9%

Total cars 7,742 1,752 22.6% 7,563 1,885 24.9% 7,637 1,961 25.7%

Trucks

Pickups 3,201 1,163 36.3% 3,198 1,133 35.4% 3,115 1,151 37.0%

Vans 1,468 328 22.4% 1,456 313 21.5% 1,398 339 24.3%

Utilities 4,585 1,212 26.4% 4,693 1,324 28.2% 4,523 1,264 27.9%

Medium Duty 459 63 13.8% 392 52 13.2% 297 42 14.0%

Total trucks 9,713 2,766 28.5% 9,739 2,822 29.0% 9,333 2,796 30.0%

Total United States 17,455 4,518 25.9% 17,302 4,707 27.2% 16,970 4,757 28.0%

Canada, Mexico, and Other 3,087 728 23.6% 2,980 705 23.6% 2,872 683 23.8%

Total GMNA 20,542 5,246 25.5% 20,282 5,412 26.7% 19,842 5,440 27.4%

GME 20,970 1,982 9.5% 20,763 1,956 9.4% 19,588 1,819 9.3%

GMLAAM 4,980 881 17.7% 4,225 738 17.5% 3,626 584 16.1%

GMAP 18,240 1,064 5.8% 17,156 887 5.2% 15,919 773 4.9%

Total Worldwide 64,732 9,173 14.2% 62,426 8,993 14.4% 58,975 8,616 14.6%

See page I-3 (Control "F" (I-3)) to find the data in a more viewable format.

http://secfilings.nasdaq.com/filingFramese...F28%2F2006&pdf=

[VenSeattle]

That's just awesome Evok! Thanks for the link!

[I hope GMRULES again]

That's just awesome Evok! Thanks for the link!

Yeh it sure is. I bookmarked that for a rainy day read.

[Dsuupr]

It helps that Chinese auto writers are not beating up GM just for the fun of it like they do here.

[cavalier36]

It helps that Chinese auto writers are not beating up GM just for the fun of it like they do here.

yeah because in China, GM is considered an import.. and because they dont have the same "writers" and "editors" if you can call them that.. in China.. ive also renamed some of the magazines/newspapers to reflect their real "feelings"...

Toyota Trend,=motor trend,

HondaWeek, = autoweek

The New Nissan Times, = the new york times,

Lexus and Driver, = car and driver.

BMW Today,= usa today

[Imaj]

It helps that Chinese auto writers are not beating up GM just for the fun of it like they do here.

I don't think it will be long before they, the Chinese, make a replica of TF