GM Renews 20-Year SAIC Venture in China as It Keeps 50% Stake
Updated
Updated · Bloomberg · Aug 5
GM Renews 20-Year SAIC Venture in China as It Keeps 50% Stake
3 articles · Updated · Bloomberg · Aug 5
Summary
General Motors signed a fresh 20-year agreement with SAIC Motor, extending a partnership that keeps the US automaker in China despite years of declining performance there.
The deal preserves the venture’s 50-50 ownership structure, with GM and SAIC continuing to jointly develop vehicles using China-based design and engineering operations and to split profits.
GM’s decision signals it sees enough improvement to stay invested in the world’s largest auto market after a prolonged slump and restructuring pressure.
The renewal also reinforces GM’s long-term China strategy, building on a venture dating to 1997 that earlier reports said now runs through 2047.