To capture the market share at the low-end of the Chinese market, General Motors Co. will launch its new Baojun brand cars this month. China chief Kevin Wale said that its brand competes with domestic carmakers such as Geely, Chery and BYD Co Ltd.
Wale, who is the president and managing director of GM's China operations, said that the Baojun brand, which is a product of GM's SAIC-GM-Wuling Automotive Co joint venture, will be introduced later in November and will arrive at the market next year.
Last January, GM gained some ground in the mass car market in China by releasing the Chevrolet New Sail autos, produced by its China venture with SAIC Motor Corp.
Wale said that the Baojun will be a full range of products that is aimed at the low end of the segment. He estimates that the low-segment sales make up about 5 million units or almost one-third of China's total sales.
The carmakers that have been dominating the mass car market include Chery Automobile, Geely Automobile Holdings Ltd. and BYD.
Wale declined to give pricing information about the Baojun brand cars but it was learned that the New Sail has a price tag of 56,800 yuan ($8,563). GM aims to export Sails to Chile and other Latin American countries but Baojun’s focus is initially on the China market. [via autonews - sub. required]