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On June 18, SAIC-GM-Wuling Chongqing officially started construction. The base will invest 6.6 billion yuan in the first phase and will strictly follow the construction of GM's global manufacturing system and standards. It is expected to be completed and put into production by the end of 2014. After completion, it will have an annual capacity of 400,000 complete vehicles and engines, and will mainly produce the existing maturity of the Wuling brand. The products provide a solid guarantee for SAIC-GM-Wuling to form a joint production pattern in the North, South, and Midwest. The centralized signing ceremony for SAIC-GM-Wuling’s core supporting projects was also held on the same day. The suppliers’ representatives from 16 parts and components were formally contracted to Chongqing’s Liangjiang New District.
Following sales of more than 1.45 million vehicles last year, from January to May this year, SAIC-GM-Wuling sold more than 680,000 vehicles and continued to be the “Sales Champion†in the mini vehicle market. At the same time, its passenger car business, along with the good performance of Baojun series products in the market, has also maintained its momentum of steady development. For SAIC-GM-Wuling, both the ever-increasing market demand and ever-increasing product sales, both in the commercial vehicle and passenger vehicle business segments, impose higher demands on its production capacity.
According to the data, SAIC-GM-Wuling Liuzhou Base currently has an annual vehicle production capacity of 800,000 vehicles, and Qingdao Base’s annual production capacity is 500,000 vehicles, plus the newly added 400,000-year capacity of Liuzhou Baojun Base in November last year; The commencement of construction of the Chongqing base will help SAIC-GM-Wuling to achieve a production capacity of 2 million at the end of the “Twelfth Five-Year Plan†period.
According to relevant experts from SAIC-GM-Wuling, after comprehensive research and comparison of local resource advantages, Chongqing believed that Chongqing has a prominent strategic position and is one of the cities that the country has focused on developing in the central and western regions; it enjoys convenient transportation, open government, and a favorable investment environment. , And has formed a complete auto parts production supporting system, at the same time in the labor costs, market mechanisms, national policies and other aspects have many advantages of resources, which will help the company's development and growth.
Although Wuling’s sales in the mini vehicle market nationwide are second to none, and the status of the leading boss is unsurpassed, the market share of the Chang’an Auto Group’s base in the Chuanyu area has remained at a certain distance from Chang’an for many years. According to analysis by industry insiders, Wuling has reduced its share of Chang’an in the Sichuan-Chongqing area in the last two years. The establishment of this plant in Chongqing will help Wuling Auto to further increase its market share in the Sichuan-Chongqing region, and at the same time, enable Wuling to increase its market share. The "low-cost, high-value" operating mode has been fully utilized to further enhance the ability of SAIC-GM-Wuling to participate in market competition.
SAIC-GM-Wuling Chongqing Base starts Wuling “kill†into Chang’an Base Camp