Manufacturing News

Shanghai GM plans second phase of Wuhan assembly plant

Shanghai General Motors Co. says it will start expanding its plant in Wuhan in central China's Hubei province as soon as the initial construction phase is completed.

The Wuhan assembly plant, which will launch production early next year, initially will produce up to 240,000 vehicles a year on two shifts.

The plant will double its production capacity in 2017, when the second phase is completed. The plant expansion will cost 7.5 billion yuan ($1.2 billion).

Shanghai GM is a 50-50 joint venture between General Motors and SAIC Motor Corp. The partnership now has three assembly plants in Shanghai, Yantai and Shenyang that can produce up to 1.3 million vehicles a year.

To expand production, Shanghai GM is completing its Wuhan plant, and it is building a Cadillac plant in Shanghai that will assemble as many as 160,000 vehicles annually after starting production next year.

Last month, Shanghai GM sold 124,575 Buick, Chevrolet and Cadillac vehicles in and outside China. For the first seven months of this year, Shanghai GM has sold 966,852 units.

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