General Motors on Thursday (27 October) said that its sales in the first three quarters of 2005 rose 27.8% from a year earlier, helped by a rebound in sales following a slow start.


Analysts told The Associated Press (AP) that a large share of the growth in GM’s sales in China, which totaled 472,468 vehicles between January and September, was from a mini-vehicle joint venture with partners Shanghai Automotive Industrial Corp. (SAIC) and Wuling Automotive.


SAIC-GM-Wuling, China’s biggest maker of mini-vehicles, makes Wuling brand mini-trucks and minivans and the Chevrolet Spark mini-car. GM owns a 34% stake in the joint venture, which has the capacity to turn out 300,000 vehicles a year and is struggling to keep up with demand, AP noted.


Higher sales by the Wuling joint venture might not mean strong earnings growth since the low-cost mini-vehicles have low profit margins, the report said.


China’s passenger-car makers reported a 52.9% year-on-year drop in profits in the first three quarters of this year, according to a report earlier this week by the National Bureau of Statistics, The Associated Press noted.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.