Auto BHP Auto Industry Updates and Reviews

16May/090

GM plans to make cars in China

As part of law proceedings which GM has to do during its legal hearings, a document has come to light which shows that GM is planning to make cars in China and ship them to the US for sale. While it is unclear which model of GM's cars figure in this process, but it plans to start with 17,335 cars in 2011 and go up to 51,546 units by 2014.

The document also states that there will be increased production in Mexico and South Korea. This means, in effect, the thought the US government may be funding GM one way or the other, and the US dealer and public are going to take a hit, more GM jobs are going to be outsourced to other countries.

Both US and Canada will be losers because GM's cars are manufactured there and people will be losing jobs there. This is going to create a great deal of controversy.

We all know the stories of sometimes inferior or faulty products exported to the US even when made by American companies with manufacturing bases in China, but I am sure GM will use very stringent guidelines to ensure its customers can expect to have cars made in exactly the way they would be if they were manufactured in the US.

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