Shanghai GM, the joint venture between General Motors and SAIC Motor, is to spend 100bn yuan (US$16bn) over the next five years developing new vehicles.

Shanghai GM president Wang Yongqing said the carmaker would launch 10 new or upgraded models a year until it has roughly 40 product lines as it tries to capture 10% of the Chinese market.

He added both Buick and Chevrolet brands would pass 1m annual sales by 2020.

Wang said Shanghai GM would launch 10 “new-energy models” – traditional and plug-in hybrids – by 2020, cutting fuel consumption in its vehicles by 25-30% in the process.

“In terms of new energy, we are keen on power efficiency and emission control and are ardent to go electrical throughout our portfolio.”

Shanghai GM has 13 new engines and nine new transmissions in the pipeline and plans to expand use of small displacement, direct injection and turbo engines and introduce diesel engines, he said.