GM expects Cadillac to grow 40% this year in China

Article by Christian Andrei, on July 7, 2014

General Motors is expecting Cadillac to hike its sales in China at least 40 percent in 2014 to 70,000 units, as it ramps up local output in the largest auto market in the world, GM China Vice President John Stadwick told Reuters in an interview.

GM’s luxury brand saw its sales in China jump 72 percent in the first half of 2014, outpacing the 32-percent growth in the country’s premium vehicle market. He remarked that Cadillac’s presence in China will be a key to its goal of becoming a global brand.

He remarked that GM’s leadership is providing focus to make sure Cadillac does it right in China. McKinsey & Co has forecast that China may overtake the United States as the largest market for premium cars. To boost growth in China, GM is bound to unveil a second Cadillac model in August that will be produced in the country.

GM will also announce a third Cadillac model early next year, Stadwick divulged. GM is focusing on local production to avoid high import taxes, thereby allowing Cadillac to be priced more competitively in China against German premium brands BMW, Audi and Mercedes-Benz.

The German brands all have local productions in China. Stadwick quipped that Cadillac believes in building where it could sell, which means there will be fewer imported and more locally built Cadillacs in China in the future.

He noted that the strategy provides Cadillac an advantage against rivals who don't have local output, like Lexus. Lexus has no plans to build cars in China due to its emphasis on quality, according to Lexus chief Tokuo Fukuichi.

Topics: gm, cadillac, china, sales

If you liked the article, share on:


Login or Create new account to add a comment!


Many have been excited with the impending arrival of the next-generation Jeep Wrangler and the new 2019 Jeep Grand Wagoneer, which is slated to be the brand’s new range-topping model....
by - October 21, 2016
Chevrolet has taken the wraps off its new Chevrolet Colorado ZH2 at the fall meeting of the Association of the United States Army (AUSA). Tagged as the most extreme fuel-cell-powered...
by - October 21, 2016
Honda has unveiled the fifth generation of its hot-selling SUV – the 2017 Honda CR-V. The latest iteration of the CR-V should help it maintain its benchmark status in the...
by - October 21, 2016
Many are already expecting BMW to launch an ultra luxurious SUV that will serve at its new flagship by late 2018. Larger than the X5 and X6, the new X7...
by - October 21, 2016
Most of you may have heard or already have one of those autonomous home appliances doing the house chores. Thus, it’s not anymore unusual to see a car going places...
by - October 20, 2016