GM injection of $ 1 billion in China, Nissan withdrawn

- GM will pump $ 1 billion into a joint venture in China to build third plant to meet rising demand market of 1.3 billion people.
Venture as SAIC-GM-Wuling plans inaugurated the first phase of the plant in 2015 and will reach an annual capacity of 400 thousand cars and engines to complete.
In addition to the two existing plants in Liuzhou and Guangxi, workshops about building in the industrial city of Chongqing will help this venture with a capacity of 2 million units in 2015.
This is the latest move by the world's second largest car manufacturer in order to meet the growing demand is forecast Mainland of about 30 million vehicles in 2020 compared to 18.5 last year.
Despite a 50.1 percent stake in SAIC-GM-Wuling, GM also has several joint ventures in China producing cars under the brands Buick, Cadillac, Chevrolet and Opel.
This step is considered to be fairly sensitive GM in the context of a series of Japanese carmakers are suffering because of the Sino-Japanese political problems surrounding small islands between the Strait divides the two countries.
Yesterday Toyota, Honda and Nissan all reported sales declines in October in China with negative order turns 61 - 54 - 44 percent.
His Nissan CEO Carlos Ghosn even say each next step in China will be the result of careful analysis slightly because the problem now is not only the market but also geopolitical.
Nissan last month even features the ability to turn down a factory in China to Thailand for peace of mind.
Since 2009, China surpassed the U.S. to become the world's largest car market and become an attractive land mass leading automobile manufacturers scrambling to invest in production and sales in this .
Like Vietnam, the foreign automobile companies are not free to open a factory in China but was forced to set up joint ventures with local partners.