Shanghai General Motors Co Ltd yesterday started selling its
first sport-utility vehicle in China, allowing it to boost sales
with an extended product portfolio into China's emerging SUV
market.
Shanghai GM, General Motors Corp's local tie-up with Shanghai
Automotive Industry Corp, will sell the imported Chevrolet Captiva
SUV, powered by a 2.4-liter engine, at prices between 224,800 yuan
(US$30,378) and 265,800 yuan in two configurations, the company
said yesterday.
A more powerful version equipped with 3.2-liter V6 engine will
also hit the market in the second half of next year, priced about
310,000 yuan to 330,000 yuan.
"The move marks a milestone for Shanghai GM to break into the
mid-level SUV market, which is growing at the fastest pace with the
largest market demand," Shanghai GM said.
Officials said the Captiva would be locally produced later to
increase its price competitiveness, pending the market
response.
The Captiva will help the car maker to round out its mix of
products.
Sales of SUVs surged 51.7 percent to 251,700 units for the first
three quarters this year in China, outpacing the overall growth of
passenger cars at 23 percent, according to China Association of
Automobile Manufacturers.
The market is prompting more car makers to launch new products
as people's increasing income spurs demand.
The market leader in the SUV sector is Honda's CRV followed by
Hyundai's Tucson. And South Korea's Kia Motor introduced its
Sportage SUV two weeks ago, with prices starting from 159,800
yuan.
Japan's Nissan Motor Corp is also expected to locally produce
X-Trail in China while considering whether to import another SUV
model, Qashqai, next year.
Shanghai GM is facing a challenge to safeguard its position as
top-selling car maker this year after slow sales in the first
half.
(Shanghai Daily November 7, 2007)
