GM's China plans
05-14-2009, 08:58 AM
#1
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GM's China plans
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http://www.autoblog.com/2009/05/12/r...s-consumers%2F
http://www.autoblog.com/2009/05/12/r...s-consumers%2F
Filed under: GM, UAW/Unions
Leaked GM document shows automaker plans to sell China-built cars to U.S. consumers
by Chris Shunk on May 12th 2009 at 11:30AM
2009 Buick Regal (Chinese-spec) – Click above for high-res image gallery
A planning document given to lawmakers by General Motors reportedly shows that the Detroit-based automaker plans to ship 17,335 autos from China for sale in the U.S. in 2011. If GM succeeds in importing vehicles to the U.S. from China, it could be the first automaker to do so.
The document doesn't show which vehicle would be brought over from the land of the Great Wall (we'd take the Buick Regal, above), but it does provide GM's volume plans through 2014. By that time, GM plans to triple its China to U.S. exports to 51,546 units. While 51,546 sounds like a lot of cars, it only represents 1.6% of the planned 3.1 million (perhaps optimistic) sales the General is expecting five years from now.
Regardless of the quantity of vehicles coming in from China, union leaders are none too pleased with the development, says Automotive News. The 12-page document also showed increased production in Mexico, with annual units rising from 317,763 in 2010 to 501,316 in 2014. South Korea, which will likely make new vehicles like the Chevrolet Spark, will increase production from 36,967 in 2010 to 157,126 in 2014. In an open letter, UAW legislative director Alan Reuther has gone on record saying that GM "should not be taking taxpayers' money simply to finance the outsourcing of jobs to other countries."
While many would expect the U.S. to be the big loser here, virtually all of the related production loss occurs in Canada. According to the 12-page document, U.S. production would continue to represent two thirds of the overall sales volume for the next five years, while Canada is slated to lose 101,000 units.
Leaked GM document shows automaker plans to sell China-built cars to U.S. consumers
by Chris Shunk on May 12th 2009 at 11:30AM
2009 Buick Regal (Chinese-spec) – Click above for high-res image gallery
A planning document given to lawmakers by General Motors reportedly shows that the Detroit-based automaker plans to ship 17,335 autos from China for sale in the U.S. in 2011. If GM succeeds in importing vehicles to the U.S. from China, it could be the first automaker to do so.
The document doesn't show which vehicle would be brought over from the land of the Great Wall (we'd take the Buick Regal, above), but it does provide GM's volume plans through 2014. By that time, GM plans to triple its China to U.S. exports to 51,546 units. While 51,546 sounds like a lot of cars, it only represents 1.6% of the planned 3.1 million (perhaps optimistic) sales the General is expecting five years from now.
Regardless of the quantity of vehicles coming in from China, union leaders are none too pleased with the development, says Automotive News. The 12-page document also showed increased production in Mexico, with annual units rising from 317,763 in 2010 to 501,316 in 2014. South Korea, which will likely make new vehicles like the Chevrolet Spark, will increase production from 36,967 in 2010 to 157,126 in 2014. In an open letter, UAW legislative director Alan Reuther has gone on record saying that GM "should not be taking taxpayers' money simply to finance the outsourcing of jobs to other countries."
While many would expect the U.S. to be the big loser here, virtually all of the related production loss occurs in Canada. According to the 12-page document, U.S. production would continue to represent two thirds of the overall sales volume for the next five years, while Canada is slated to lose 101,000 units.
05-14-2009, 07:11 PM
#2
I work with product design & manufacturing engineers in China daily. They are very hard working and think nothing of spending 12 -14 hours at work. Skilled workers can be hired at $4 / hour. I think this is a little lower than the UAW is asking. Product quality is excellent once they have developed the process. I don't have any concerns about buying product from good manufactures in China. The common though on selecting manufacturing location for a new product is: "build the product at the lowest cost site which can meet you product requirements." GM must think that China is now able to do that, and I agree.
Hopefully Detroit's tech schools are filling up because I cant get enough good help here to run and maintain my automated equipment!
Hopefully Detroit's tech schools are filling up because I cant get enough good help here to run and maintain my automated equipment!
05-14-2009, 10:51 PM
#3
Safety Car
