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Admin 04-07-2006 12:13 AM

SAIC news
BEIJING (AFX) - SAIC Motor Corp Ltd, one of China's largest automakers, said it has appointed Wang Dazong, a former chief engineer and design manager at General Motors, as its vice president.

Wang will be in charge of technical management and product development at the Chinese automaker, including establishing R&D capabilities for launching its own brand vehicles, said SAIC Motor in a statement.

Yale Zhang, head of auto consultancy CSM Worldwide's China operations, told XFN-Asia that there is a growing trend among Chinese automakers to employ more and more overseas professionals to bring in production and management expertise.

Zhang said that most Chinese firms, including Chery and Lifan, already have key R&D personnel who have worked for major international automakers.

'But it is hard to measure how much value these personnel can create for the Chinese automakers in developing their own cars,' Zhang added.

SAIC Motor Corp Ltd said in February that it has set up a company -- SAIC Motor Manufacturing Co Ltd -- to produce automobiles of its own design with an investment of 3.68 bln yuan.

The first model, which was designed based on the Rover 75, is scheduled to be released in the second half of the year.

State media reported earlier this year that SAIC Motor may hire GM China's former president Phil Murtaugh to head SAIC Motor Manufacturing Co Ltd.

Admin 07-20-2006 07:39 PM

SAIC, FAW drive into Fortune 500
Jin Jing
TWO Chinese car giants drove themselves into the new Fortune 500 list as a result of the nation's booming auto industry.

SAIC, the Chinese partner of General Motors Corp and Volkswagen AG, took the 475th position with a sales revenue of US$14.3 billion for 2005, two years after it entered the list in 2004.

First Automobile Works Group, China's largest automaker, maintained its name on the list for a second consecutive year and was No. 470 with revenue of US$14.5 billion.

However, its ranking dropped from No. 448 in the last list with US$13.8 billion sales income.

FAW's profit for 2005 totaled US$116 million while SAIC's was US$21 million.

Analysts said SAIC's acquisition of South Korea's Ssangyong Motors Corp, which increases its sales, helped the Chinese automaker back onto the list this time in addition to its rapid development in car manufacturing in the Chinese market.

SAIC overtook FAW as China's largest carmaker for the first time last year when it sold 1.05 million vehicles, a 24 percent jump from a year earlier.

The Shanghai-based company also sold over 680,000 units in the first half of this year.

Admin 08-10-2006 01:40 PM

SAIC appoints Gao to head its R&D subsidiary
Jin Jing
SHANGHAI Automobile Industry Corp has hired Gao Jiawei, formerly with General Motors Corp, to strengthen its research and development capability as it seeks to roll out vehicles under its own nameplate.

SAIC Motor Manufacturing Co Ltd, the major platform of SAIC for making vehicles with its own technology, has appointed Gao as the director of its production line-up.

It is understood that the new company is considering producing smaller-sized vehicles, a source told Shanghai Daily.

A SAIC Motor spokesman refused to comment yesterday.

SAIC Motor has an abundance of talent in its pool after lapping up 150 auto engineers from failed carmaker MG Rover.

Gao's appointment comes after SAIC named another former General Motors staffer Wang Dazhong as its vice president in March.

The former GM chief engineer and design manager will be responsible for technical management and product development, including R&D capabilities of the company.

SAIC, China's second-largest automaker, has been aggressively eying expansion after winning the intellectual property right for Rover 25 and Rover 75 from the British carmaker early last year.

The Shanghai enterprise, which cooperated with both General Motors Corp and Volkswagen AG, plans to invest 13.6 billion yuan (US$1.69 billion) to launch 30 models with its own technology in the market over the next five years.

SAIC Motor's first self-branded model, a mid-to-high range family car based on the Rover 75, will roll out in the second half of this year followed by another family car early next year.

Reports elsewhere said the company has also spent US$22 million to gain the Rover brand from BMW Corp. However, Huang Huaqiong, a spokesman for SAIC Motor, said the Chinese name for the models haven't been decided yet. The company's manufacturing plant aims to produce 300,000 vehicles by 2010.

edge 08-10-2006 09:19 PM

They should stick with SAIC as their Western brand name.

I think they will become a global giant in ten years. They have the resources and the foundation.

AXLE 08-11-2006 12:15 PM

22 million just for the Rover brand name??? :nono: Well I guess an established brand name will help them but so far the vehicles are virtually the same as the old Rover 75 they are based on, more to should have been done apart from some minor stylistic enhancements.

MartinW 08-11-2006 06:35 PM

SAIC/Nanjing - a bit like the Rolls Royce/Bentley sale that VW thought it had scored on, and then BMW removed the big ace for a fraction of the price! Ok, maybe SAIC had contributed previoulsy to MG Rover, and maybe Rover is not such a big prize in British eyes, but Rover is certainly a more useable name in the Far East for prestige cars than MG.

MartinW 12-04-2006 07:07 AM

SAIC to buy parent's JV stakes

By Janet Ong and Lee Spears (China Daily)
Updated: 2006-12-01 09:27

Shanghai Automotive Co shares surged yesterday after the firm said it will create China's biggest publicly traded carmaker by paying 19.1 billion yuan (US$2.4 billion) in stock for its parent's stakes in ventures with General Motors Corp and Volkswagen AG.
The China Securities Regulatory Commission approved the sale of 3.28 billion shares to SAIC Motor Corp, Shanghai Auto said in a statement yesterday to the city's stock exchange. The company is buying stakes in 16 units from the State-owned parent.

The listing of SAIC's main operations will help the carmaker raise funds to expand in a nation that is set to overtake Japan this year as the world's second-largest vehicle market.

"China is encouraging companies to list in their entirety to reduce transactions within their groups and to enhance transparency," said Zhang Xin, an analyst at Guotai Jun'an Securities Co in Beijing. "Access to the capital markets also makes it easier to develop new products."

Shanghai Auto's shares surged by their daily 10 per cent limit to a two-year high of 6.78 yuan (86 US cents) and changed hands at 6.68 yuan (84 US cents) at the 11:30 am trading break in Shanghai.

The stock has more than doubled this year, outpacing a 78 per cent increase in the benchmark Shanghai composite index.

China's vehicle sales rose 26 per cent in the first 10 months of this year to 5.77 million units.

ash 07-28-2007 03:25 PM

SAIC business news
By Jin Jing 2007-7-28
THE Shanghai Automotive Industry Corp yesterday signed a letter of intent with the Yuejin Motor (Group) Corp that will allow it to tie up with the Nanjing Automobile Corp.

The result will be the biggest alliance in China's auto industry for developing home-branded model.

China's largest auto maker and Yuejin plan to jointly set up panels working on the possibility of cooperation on complete cars, auto parts and auto trades between the two state-owned car makers, SAIC said in a statement late yesterday.

The proposed synergy is based on an assets-restructuring program for both Jiangsu Province-based Yuejin and its subsidiary, Nanjing Auto, with the aim of a comprehensive cooperation with the SAIC, the statement added.

Analysts said the announcement marks the launch of a long-awaited merger between SAIC and Nanjing Auto, which acquired assets and intellectual property rights from the failed British MG Rover Corp to make their own-branded vehicles. "The cooperation will combine the strength of each other and will be carried out in an extensive way," SAIC said in the statement.

"The unity should help to consolidate resources for better efficiency, improve research and development capabilities, expand product mix and lift brand value for a win-win situation."

SAIC lost out to Nanjing Auto in a bidding for the bankrupt MG Rover in 2005. It spent 67 million pounds (US$136.21 million) to get the technology for two Rover models, which helped its listed unit, Shanghai Auto, to unveil its own version of Rover 75 last year, called the Roewe 750 sedan.

Nanjing Auto took over the MG brand and complete assembly lines with a 50-million-pound investment. It will sell the Chinese-made MG-branded models - starting next month - as part of a US$2 billion investment to revive the historical brand worldwide.

SAIC didn't elaborate on the cooperation agreement yesterday, saying the consolidation will avoid competition issuer with Shanghai Auto.

phaeton 07-28-2007 09:10 PM

We all knew it was coming :)

mgrovernut 08-18-2007 05:15 AM

So will the forums eventually merge? And will Roewe's become MG's and Austins?

Rally Red Lancer GTS 08-19-2007 12:54 PM

Anyone ever heard whether Nanjing plans to import MG Rover's to the U.S.? I saw a new version of what used to be a MGB in America in a British car mag about 10 years ago and it looked pretty good. Retained a lot of that British micro-car charm and looked tight.

Most Americans would poo-poo the idea of buying a MG because of the lack of their crashworthiness, anyway. There would be a small audience, though. Triumphs were also quite popular here in the 60's and 70's with the TR-3, TR-4, TR-250 and TR-6.

ash 09-12-2007 08:40 PM

SAIC takes green technology path in drive to success
Large domestic carmakers are taking the lead in pushing green technology. Shanghai Automotive Industry Corp (SAIC), the mainland's largest carmaker, said it has invested two billion yuan since last year in a technology centre to help the company produce more environmentally friendly vehicles

CCF mod 09-18-2007 11:33 AM

SAIC Changes Its Name
From China Car Times.


SHANGHAI Automotive Co Ltd, the listed unit of China’s biggest car maker, has been renamed Shanghai Automotive Group Co Ltd, marking the completion of an assets restructure of its parent, the company said in a statement yesterday.

Shanghai Auto, 83.83 percent owned by Shanghai Automotive Industry Corp, sold additional shares to the parent for taking its stake in two venture with General Motors Corp and Volkswagen AG. The move helped Shanghai Auto increase competitiveness by focusing more on car manufacturing instead of auto parts. Shanghai Auto is now responsible for making SAIC’s self-owned car models including Roewe 750 and other upcoming new products.

m14 11-10-2007 01:37 AM

SAIC Motor to Set Up Transmission Subsidiary
The new subsidiary is to be called SAIC Motor Automotive Transmission Ltd. It will have registered capital of CNY 1.6 billion.

All the businesses, employees, assets, and liabilities of Automobile Gear Works will be totally infused into the new subsidiary.

The new arm is to be engaged in the research and development, manufacturing, and provision of automobile transmission assembly both at home and abroad. It also focuses on the manufacture of automotive gearboxes used in the

Joest 11-11-2007 06:00 PM

Can't believe it! I thaught the Chery M14 project was in "P" ;)

And why do Chery and SAIC work together?

ash 11-11-2007 08:06 PM

huh what are u talking about chery for?

Joest 11-12-2007 03:51 AM

OK... I thaught it was written "Used in the Chery M14", I didn't realize that was M14's signature.


Admin 11-29-2007 10:02 AM

SAIC Boosts Investment, Challenging GM, VW in China
Seonjin Cha and Irene Shen
Nov. 29 (Bloomberg) -- SAIC Motor Corp., China's largest automaker, will increase spending to make cars of its own design, heightening competition with its partners General Motors Corp. and Volkswagen AG.
The company will spend at least 20 billion yuan ($2.7 billion) to develop between 20 and 30 new models by 2012, President Chen Hong said at a press conference in Shanghai today. That compares with an earlier plan to spend 13.7 billion yuan by 2010.
SAIC Motor is moving up from being a low-wage assembler of overseas brands and is developing five platforms, ranging from recreational vehicles to compact cars. The carmaker has purchased technology from the U.K. and South Korea to help with its own designs.
``It will take SAIC three to five years to build its own brand and catch up with overseas rivals,'' said Wang Liusheng, an analyst at China Merchants Securities Co. in Shenzhen. ``SAIC Motor has competitive edge over its overseas rivals with lower costs in parts purchasing.''
SAIC Motor rose 3.4 percent to 24.34 yuan at the close of trading in Shanghai. The shares have almost tripled this year.
China Growth
Car sales in China surged 24 percent to 7.15 million in the first 10 months of 2007 because of economic growth. The benchmark CSI 300 Index has more than doubled this year, fueling demand as more than three-fifths of Chinese stock-market investors buy new cars with their profits.
``China has become the most important market for all carmakers,'' said Wang. ``SAIC has great potential to develop in its own country.''
The carmaker expects group sales of more than 200 billion yuan this year, Chen said. The company is spending about 8 percent of sales on research and development.
The automaker expects to sell a total of 600,000 own-brand vehicles by 2010, including Roewe sedans.
SAIC Motor's parent in also in talks about a possible tie- up with Nanjing Automobile Group Co., the Chinese maker of MG cars, to expand its own-brand line-up.
``M&A is something you grasp when opportunities arise,'' said Chen. ``We'll continue to closely monitor market situations in China as well as overseas.''

To contact the reporter on this story: Seonjin Cha in Seoul at [email protected] Irene Shen in Shanghai at [email protected]
Last Updated: November 29, 2007 05:36 EST

mgrovernut 12-01-2007 05:29 AM

I wonder if this is partly being done to help absorb MG Powertain from Nanjing...

mrgq 12-01-2007 01:14 PM

that would make total sense

CCF mod 12-18-2007 11:44 AM

SAIC plans to introduce 30 new cars in next five years!


December 18th, 2007 - the Chinese motoring press are reporting that SAIC plans to push out 30 cars over the next five years, that includes five new platforms.

Roewe has been selling well so far this year, with SAIC selling 18,000 Roewe 750’s between March and November of 2007, and on average sells around 2000 vehicles per month in 2007.

China Car Times knows of the Roewe 750 (W161 platform) and the Roewe 550 (W261 platform) we are now hearing rumors of an S161 platform which will form the basis of a small car, the Roewe SUV is based off the S100 platform.

Surely our more astute readers will realize that SAIC are actually claiming that they can bring out a new car every two months over the next 60 months/five years.
source: China Car Times

CCF mod 12-20-2007 11:12 AM

Excellent news for SAIC - the company sold 1.5 millions vehicles in first eleven months of 2007!


December 20 2007 - Shanghai Automotive Industry Corp (SAIC) has sold 1.5 million vehicles in the first eleven months of this year, reaching its sales target for the full year of 2007, China Business Times reported today.

SAIC's passenger vehicle sales have reached 996,675 units in January through November, up 22.5 percent from a year earlier. In passenger vehicles, Shanghai VW sold more than 400,000 units, and Shanghai GM sold 430,000 vehicles. Ssangyong, a subsidiary of SAIC, has experienced buoyant sales in Chinese market.

During the same period, SAIC sold 30,000 commercial vehicles (heavy and light duty trucks), 15 percent higher than its full year target.

The company is expected to sell 1.6 million vehicles by year end. By 2010, SAIC will be able to produce and sell 2 million vehicles and of which 600,000 will be SAIC's self-developed models, the company said earlier.

CCF mod 01-09-2008 01:38 PM

Sales results for 2007.


January 9, 2008 – Shanghai Automobile Industry Corporation, or SAIC, still holds No.1 position in China automobile industry by selling 1.69 million vehicles in 2007, up 25.8 percent from one year earlier, the company announced yesterday.

In passenger vehicle sales, SAIC sold 1.13 million units, up 24.3 percent year-on-year. Shanghai General Motors has consolidated its leading position in China’s passenger vehicle sales by selling more than half a million vehicles in 2007, while Shanghai VW sold 456,000 units and Ssangyong sold 136,000 vehicles.

SAIC also sold 16,000 Roewe vehicles since it was launched in March of 2007.

In commercial vehicle sales, SAIC sold 553,000 units, up 29 percent from one year earlier. SAIC-GM-Wuling sold 520,000 mini-vans (Wuling Star) in 2007, up 23.8 percent year-on-year; SAIC-Iveco-Hongyan sold 24,000 trucks, up 69.7 percent year-on-year.

CCF mod 03-27-2008 12:00 PM

China's SAIC Motor net profit surges 242% in 2007

March 27, 2008 - SAIC Motor Corp Ltd., listed company of China's largest automaker Shanghai Automotive Industry Corp (SAIC), posted a net profit RMB 4.63 billion ($656,000) for the whole year of 2007, up 242% over the previous year.

In 2007, SAIC has sold a total of 1.69 million vehicles in the Chinese market, up 25.8% year on year, and 1.13 million of them were passenger vehicles, an increase of 24.3% from one year earlier. The number makes it the leading automaker in China in terms of sales.

Its two passenger car joint ventures with General Motors Corp and Volkswagen AG sold 500,308 and 456,424 vehicles respectively last year, while commercial vehicle ventures Saic-GM-Wuling and Saic-Iveco Hongyan each sold 520,000 and 24,000 vehicles. Sales of South Korea subsidiary Ssangyong Motor were 136,000 vehicles, up 13%.

Also by the end of last year the listed company had issued RMB 6.3 billion convertible debts, which provided fund support for improving R&D facilities and capabilities.

Due to increased auto sales and capital injection, the automaker's total revenue last year has reached RMB 104 billion ($14.8 B), a growth of 434% from one year earlier.

Earnings per share stood at RMB 0.708, up from RMB 0.355 a year earlier.

The company said it has set a sales target of 1.9 million units for 2008, with total revenues growing to RMB 119.1 billion. It predicts that China's total domestic auto demand will grow by 10% to 9.7 million units this year.

From China Car Times:

SAIC top brass are probably kicking themselves that they didnt stick a bid in for Landrover and Jaguar, after a record breaking 2007 they can easily afford it!

In 2007 SAIC sold 1.69 million vehicles, which translates into a 25.8% year on year increase on 2006. Profit in RMB was 4.63 billion RMB. Of the 1.69 million vehicles sold, 1.13 million were automobiles.

Sales with its joint venture partners worked out as follows: GM sold 508,380 vehicles, and VW 456,424. SAIC’s minivan and truck making ventures, SAIC-GM-Wuling and SAIC-Iveco Hongyan each sold 520,000 and 24,000 vehicles. Some more good news for SAIC bosses are that sales at its Korean owned manufacturer, Ssangyong, are up 13%. Ssangyong sold 136,000 vehicles in 07, a respectable figure for essentially a niche market player.

SAIC is planning to push the goal posts even further in 2008, with them planning to sell 1.9 million vehicles. Can they meet those targets? Possibly, the Chinese Car Industry shows no signs of slowing just yet.

mememe 04-09-2008 03:40 PM

Re: SAIC business news
SAIC looks into future

By Hao Zhou (
Updated: 2008-04-09 17:33

On April 1 this year, the entire equity of Nanjing Automobile (Group) Corporation was put under Shanghai Automotive Industry Corporation (SAIC)'s name, and the integration work of both giant automakers entered a new phase.

Nanjing Auto had suspended its long-lasting cooperation with Italian automaker Fiat after SAIC signed its merger deal on December 26 last year with Yuejin Motor Group, controlling shareholder of Nanjing Auto.

However, as orders for SAIC's car models continue to outpace its production capacities, China's largest passenger car maker is considering rejuvenating Nanjing Fiat's car production line.

The 21st Century Business Herald reported earlier that Shanghai Volkswagen, Volkswagen's 50-50 joint venture with SAIC, will pay 1.5 billion yuan ($214 million) to SAIC for Nanjing Fiat assets.

"Shanghai Volkswagen is continuing preparations for assembling its current car models in Nanjing," SAIC said in a statement posted on its website.

It has also been reported that the new base for Shanghai Volkswagen will engage in production in the middle of 2008 and is expected to have production capacity of 100,000 cars by 2010.

At the same time, SAIC, a leader in the passenger car market, also has ambitious plans to produce 400,000 independently developed commercial vehicles between 2006 and 2010.

Although it has bought SsangYong's technology and started to produce the Sunwin-branded coaches under cooperation with Volvo, it was still hardly able meet this year's sales target of 700,000 commercial vehicles.

Wuxi-based Soyat, previously owned by Nanjing Automobile, could be SAIC's next merger target for expanding its commercial vehicle output. The 21st Century Business Herald said SAIC had sent an expert panel to look into the feasibility of buying out Soyat.

CCF mod 04-28-2008 11:24 AM

SAIC profit rises on China's Volkswagen car demand.


SAIC Motor Corp., China's biggest automaker, boosted first-quarter profit 7 percent after selling more cars at ventures with Volkswagen AG and General Motors Corp.

Net income climbed to 1.24 billion yuan ($177 million), or 0.191 yuan a share, from 1.16 billion yuan, or 0.177 yuan, a year earlier, the Shanghai-based carmaker said in a statement to the city's stock exchange. Sales rose 14 percent to 28.9 billion yuan from 25.5 billion yuan.

SAIC Motor's auto sales growth trailed the total market because of cooling demand for Buick Excelles made by its venture with GM. The company tripled profit last year after buying 19.1 billion yuan of assets from its parent to gain direct access to the world's second-largest vehicle market.

"Given the company's huge base and rising raw material prices, it will be more and more difficult to maintain fast profit growth," said Zhang Xin, an analyst with Guotai Junan Securities Co. in Beijing.

SAIC Motor's vehicle sales climbed 15 percent in the first quarter to 463,683, according to the China Association of Automobile Manufacturers. The overall market expanded 21 percent. China is likely to surpass the U.S. as the world's biggest car market by 2015, according to Volkswagen.

Sales growth at GM, which only builds vehicles in China through ventures, slowed to 7.4 percent last quarter, trailing Volkswagen as Chinese drivers shunned GM's Excelle in favor Volkswagen Santanas. Volkswagen builds the Santana through a separate venture with SAIC Motor.

GM's first-quarter sales in China were also hit by the country's worst snowstorms in five decades, which disrupted the delivery of parts and shipments of new vehicles from minivan- maker SAIC-GM-Wuling Automobile Co.

SAIC Motor agreed to buy Nanjing Automobile Group Corp.'s auto-making units late last year to add new models including MG cars and trucks.
source: Bloomberg

CCF mod 05-21-2008 01:25 PM

SAIC to export Roewe 550 to Europe in early 2009.


May 21, 2008 - Shanghai Automotive Industry Corporation (SAIC) displayed the Roewe 550 at the Beijing auto show last month and the world saw the first new Chinese car emerging from the remnants of MG Rover. SAIC will launch this car to the European market in early 2009. And another all-new model, Roewe 750, also jointly designed by its auto technical centers in Shanghai and Britain, is expected to go on sale in Europe later this year.

The Roewe 550 is a mid-sized car, developed from a model of the British car-maker. SAIC, the Roewe's maker, was involved in the project as part of a technical deal made before MG Rover failed. The 550 is based on the Rover 75, shortened, modified and restyled. SAIC owns the intellectual property of Rover and MG models and has already relaunched the old 75 as the Roewe 750, which is basically a stretched version of the Rover 75 with a revamped interior and new grille. SAIC have reportedly held talks with the German company, Karmann, in hopes of getting them on board to make the Roewe 550 for the European mainland.

While production of the MG Rover-based cars is forging ahead, SAIC will begin production of the MG TF LE500 roadster at MG Rover's old Longbridge plant in the UK in early August this year. In 2009, SAIC will launch its self-developed mid-sized sedans under the name MG6 to complete the MG portfolio.

SAIC is China's biggest car company. For some years it has made vehicles in joint ventures with General Motors and Volkswagen and is now beginning a series of own-brand models. The Roewe 550 is the first intended for export as well as the burgeoning domestic market.

Earlier this year, SAIC took over Nanjing Automobile Corporation (NAC), which had bought the MG Rover tooling and equipment as well as the MG name. The merger allowed SAIC to use the MG brand for export. SAIC and NAC have said their next target for expansion is Europe.

When it is launched in Europe in early 2009, the Roewe 550 is expected to sell for 12,000 to 20,000 euros.

CCF mod 06-12-2008 11:37 AM

SAIC-Roewe to roll out high-end NLC in 2010.


June 12, 2008 - SAIC-Roewe has been developing an upgraded version of Roewe750 for a position in the medium car market. This model, code-named NLC (New Large Car) inside, is to be launched in 2010 as scheduled.

SAIC Roewe has worked on the upgraded version of Roewe750 since last year. It will be an all-new model powered by a new engine and will be based on an all-new platform. The model will target the commercial car market, sources of SAIC said.

“We have fulfilled the basic body styling and expect to enter the engineering R&D stage this year,” said an SAIC engineer involved in NLC development. NLC is designed to accomplish Lexus’ performance at Camry’s cost.

The hybrid project (code-named NLE) is also promoted simultaneously as the supporting system of NLC. The 2.0-3.6L L4 and V6 series of NLE will be mass-produced as soon as possible to replace the current K-series engine, confirmed Gao Weiming, general manager of the technical center in SAIC.

SAIC-Roewe has struggled for a market share in the mid-class and luxury car market since Roewe750 was launched in early 2007. Roewe is passionate to enter the high-end car market.

mememe 08-30-2008 07:00 AM

Re: SAIC business news
SAIC Motor H1 net profit down 28 pct

August 30, 2008

SAIC Motor Corp Ltd said first half net profit fell 27.64 percent year-on-year to 1.97 billion yuan ($286.72 million) due to expenses incurred following its acquisition of Nanjing Automobile Group.

SAIC Motor, the listed unit of China's largest automaker Shanghai Automotive Industry Corp (SAIC), said it sold over 990,000 autos in the six-month period, up 17.6 percent year-on-year.

However, sales growth slowed markedly in the second quarter, and the company failed to meet its sales target for the first half.

Rising raw material costs also hurt its results, the company said.

Operating revenue was 57.64 billion yuan, up 12.87 percent year-on-year, supported by rising auto sales volume.

Domestic revenue rose 28.32 percent to 47.84 billion yuan, while overseas revenue fell 28.92 percent to 9.8 billion yuan.

Earnings per share were 0.30 yuan, down from 0.42 yuan a year earlier.

SAIC Motor said Chinese auto demand growth will ease in the rest of the year. It did not make a forecast for the full year.

In December 2007, SAIC Motor agreed to pay 2.1 billion yuan to Yuejing Motor to purchase the vehicle and core auto parts assets of Nanjing Auto.

In its statement, SAIC Motor said the consolidation of Nanjing Auto was having a short-term negative impact on operating profit.

It added that South Korea's Ssangyong Motor Co, which SAIC Motor controls with a 48.92 percent stake, has also seen a sharp decrease in domestic sales due to higher diesel prices and stricter emission standards.

mememe 09-13-2008 11:16 AM

Re: SAIC business news
SAIC subsidiary approved to buy Shanghai Diesel Engine

September 13, 2008

Shanghai Automotive Co., Ltd. has gotten a nod from the China Securities Regulatory Commission (CSRC), the nation's securities regulator, for its acquisition of 241.7 million shares or a 50.32% stake in Shanghai Diesel Engine Co., Ltd. , the buyer announced on September 9.

Shanghai Automotive, a listed subsidiary under the aegis of Chinese auto titan Shanghai Automotive Industry Corporation (Group) (SAIC), is set to buy the shares from Shanghai Electric Group Co., Ltd., a mechanical and electrical equipment manufacturing giant in China, for CNY 923.42 million.

After the deal, Shanghai Automotive will become a controlling shareholder of Shanghai Diesel Engine, part of its parent company SAIC's efforts to grow into an international auto group with powerful core competitiveness.

Besides Shanghai Automotive, SAIC will have the other two listed affiliates such as Shanghai Diesel Engine and Shanghai Bashi Industrial Group Co., Ltd.

mememe 10-12-2008 04:00 PM

Re: SAIC business news
SAIC plans to double Longbridge workforce


From:birminghammail.netOctober 12, 2008
LONGBRIDGE is back up and running with a vengeance with plans to more than double the MG UK workforce at the car factory within 12 months.

Shanghai Automotive (SAIC) and its subsidiary Nanjing Auto, the Chinese owners of the famous Birmingham car plant, aim to beat the financial downturn with proposals to hire more production, paintshop, sales and marketing staff and others during 2009.

And discussions are under way over the transfer of around 250 designers and engineers currently based at the Shanghai Motor Technical Centre in Leamington – a wholly-owned subsidiary of SAIC/Nanjing – to Longbridge.

The recruitment plans would more than double the current workforce of around 200 based at Longbridge, at a time when motor industry jobs are under severe threat from the worst UK sales slump for over 40 years.

Meanwhile, the standard version of the two-seater MGTF will be on the road by the end of the year following a sell-out of the limited edition version, the TF LE500.

NAC MG UK corporate communications manager Eleanor de le Haye said the car firm was set to recruit across all areas.

"At the time of the launch, it was 180 to 190 people but the workforce is creeping up all the time," she said.

"There are 27 people being recruited over the course of 2009 for sales and marketing, for example. There are plans to recruit more business staff, paintshop staff, production staff.

"The TF LE500 has been a huge success and we do not think that it would be any different for the standard car.

"We have a standard specification model, MGTF, and there will be standard cars on the road by the end of the year."

Ms De La Haye confirmed that plans to transfer the SMTC UK Ltd operation – which provides engineering and design skills for MG and the Shanghai-built Roewe model – were under consideration.

The new Chinese-built MG is being sold through a network of 50-plus UK dealerships nationwide from £16,399 on the road and SAIC/Nanjing aim for an output of around 3,700 vehicles next year.

CCF mod 10-28-2008 02:36 PM

SAIC launches own-brand project in Nanjing.


October 28, 2008 - SAIC Motor launched its in-house developed engine and A-class car platform programs yesterday at Nanjing high-tech industrial development zone, Nanjing Morning Post said today.

The second phase of Nanjing Pukou facility, SAIC’s own-brand project, is expected to complete by 2009 with a total investment of 2.566 billion yuan ($375.7 million). The project includes an all-new A-class car platform and NSE series engines for four models. On completion, the Pukou facility will have an annual capacity of up to 200000 vehicles and 250,000 engines.

The A-class car platform will produce hatchback, sedan, small MPV and also a revamped mid-sized model based on MG, as SAIC’s own-brand models for the global markets. All the new models will be powered by NSE series engines, which are developed by SAIC Motor Technical Center Ranging from 1.3L to 1.6L, the engines generate an output between 65kw and 120kw, with emission standard meeting the Euro IV or even V.

SAIC said it will complete the main production lines in its Nanjing base by 2010 and plans to roll out the first model by February 2010.

mememe 11-01-2008 05:45 AM

Re: SAIC business news
SAIC sees Q3 net profits down 42.67%

October 31, 2008
Shanghai, October 31 ( In a statement it released today, Shanghai Automobile Industry Corporation (SAIC) said its net profits declined by 42.67% year on year to 2.226 billion yuan ($32.63 million) in the third quarter, First Financial Daily reported.

But the auto giant said its financial assets and investment in real estate available for sale this year grew by 182.44% and 266.56%respectively over a year earlier.

However, despite the two large increases, SAIC suffered a book loss related to stocks of China Construction Bank and Bohai logistics by the end of the third quarter. The gross book value only totaled 21,002,400 million yuan from January to September, a loss of 4,829,300 yuan from its initial investment of 25,831,700 yuan.

mememe 11-16-2008 04:21 AM

Re: SAIC business news
SAIC set to expand car financing business

November 16, 2008

Shanghai Automotive Industry Corp (SAIC), China's largest carmaker, plans to expand its car financing business in an effort to spur consumption and boost profitability, the South China Morning Post reported Wednesday, citing SAIC Chairman Hu Maoyuan as saying.

Hu said during a conference in Tianjin that the company is striving to offer more car financing services to customers. But he did not elaborate how SAIC would strengthen its car financing arm.

He added 30% of the company's net profit was generated from servicing business.

SAIC posed a net profit of RMB 260.8 million for the third quarter, representing a 78% of sharp decline year-on-year, due to slowing demand for vehicles.

General Motors China and SAIC has secured regulatory approval to jointly set up their finance arm GMAC-SAIC Automotive Finance in November last year, becoming the first operational automotive financing company offering both retail and wholesale business in the country.

According the report, car financing business is still underdeveloped on the mainland, with only 20% of buyers taking out loans to pay for car, which is far below the rate of 50% in Japan and 90% in the United States.

mememe 11-26-2008 03:21 AM

Re: SAIC business news
SAIC group to spend $300 mln on green cars

November 26, 2008

SAIC Motor Corp, China's biggest automaker, said on Tuesday it plans to set up a venture with its state-owned parent that will invest 2 billion yuan ($293 million) to develop clean-energy cars.

The SAIC group will hold a 90 percent stake in the venture, which will focus on the development of hybrid and electric vehicles, while its listed unit will hold the remainder.

Domestic and foreign automakers are pouring increasing resources into the development of "green" cars as concerns mount over the environment and the threat of global warming, which is linked to carbon dioxide emissions.

In January, SAIC's car venture with General Motors rolled out its first locally produced hybrid car in China and said it planned to introduce fuel cell-powered vehicles into the world's second-largest auto market after 2010.

Rechargeable battery maker BYD Co plans to launch its first all-electric car in China in the second half of 2009, Henry Li, general manager of BYD Auto's export trade division, told Reuters last month.

CCF mod 12-02-2008 11:01 AM

SAIC top man Mr. Chen Zhi Xin, announced yesterday that Roewe and MG will unite together for research, production, scope, purchasing and share investment resources to build their respective brands.

SAIC plans to merge its production bases into one east coat production base, the three factories, Pukou (in Nanjing), Lin Gang, Yi Zheng and An Ting (Shanghai) will come together to produce cars in the SAIC portfolio.

According to SAICs plans, SAIC will no longer be based on brand, but rather platforms. The Nanjing factory will be focussed on production an A-class small car, and small engines. Lin Gang will be focused on producing A+B segment cars, as well as producing the current Roewe 750, Lin Gang will also produce the Ssangyong range of SUVs in China.

The Lin Gang factory will produce 6 different types of car, the Roewe 550, and the next generation 750 and engines. The next generation 750 is expected to enter the market in either 2009, or 2010, further information on the next generation Roewe 750 was not forthcoming. The next generation MG7 is also in the development stage, and could also be produced in the Lin Gang factory.

MG plans to have an A-segment car, which will be available in hatch and sedan format. A small MPV will also be made, and work on a compact car is also in progress, these cars may be named the MG5 and MG6. The MG6 will be the next car to go on the market after the launch of the MG7 Automatic model, and will go on the market in 2009. MG spokesman, Mr. Jian Lu Qiang revealed that the MG6 wont be based on the Roewe 550 platform.

December 2nd, 2008, China Car Times

mememe 01-29-2009 04:42 PM

Re: SAIC business news
Israel among first to import SAIC cars from China

January 29, 2009

Peugeot Citroen importer Lubinski will begin the regular import of Shanghai Automotive Industry Corp. cars in the fourth quarter.

Peugeot Citroen importer David Lubinski Ltd. will begin the regular import of vehicles made by Chinese carmaker Shanghai Automotive Industry Corporation (SSE: 600104) (SAIC) in the fourth quarter of 2009, and will begin marketing in January 2010. The first SAIC cars will arrive within a few weeks to give Lubinsky the time to study the cars and train its sales and service staff.

The cars arriving next month will not comply with standards, so they cannot be driven on the roads. SAIC already manufactures cars that comply with EU Euro-5 emissions standards, and these are the cars that will be delivered later this year. SAIC is a partner of General Motors Company (NYSE: GM) and Volkswagen AG

SAIC selected Israel, the UK, and Spain as its first target countries in Europe. Some of the cars will come directly from SAIC's factories in Shanghai and Nanjing, while others will come from the company's UK factory, which it acquired from Rover.

CCF mod 02-09-2009 01:46 AM

Roewe, MG sales teams merged to cut cost

February 9, 2009
Last week, SAIC's affiliated Roewe, and the sales division of Nanjing MG Auto Co., Ltd. moved out of their former offices to the building of their parent's technology center in Shanghai, said today. In its effort to cut costs, SAIC is merging the sales networks of the Roewe and MG brands.

Shanghai Automotive Industry Corporation (SAIC) plans to gain nearly 1% more profits through cutting costs in 2009, as a measure to fight against the worldwide financial crisis that started in the second half of last year. The 1% profit is not only a target set for the parent, but also each affiliate, to be achieved by by lessening expenditures, and lowering salaries of top executives.

SAIC has decided to cut down the losses of affiliated proprietary brands and enhance their profitability through unified marketing. Earlier this month, the sales and marketing divisions of Nanjing GM said they were moving out of their Nanjing offices to SAIC's technology center located in Anting of suburban Shanghai, to be merged with the Roewe sales team of SAIC Motor.

Besides, Nanjing MG will be merged into Nanjing Auto Corp, which SAIC acquired one year ago. With the MG assets as its major part, Nanjing Auto will become an important base for SAIC to develop own-brand models. In addition, the Nanjing Iveco Auto Co assets of Nanjing Auto will also be handed over to SAIC Commercial Business Unit.

Industry experts pointed out that SAIC is the first leading automaker in China to announce its target to lower costs after the financial crisis. As China's auto sales growth is expected to dive to the lowest point of 5% since 1998, more domestic carmakers will follow suit to cut costs and boost profitability.


shgenii 02-11-2009 09:10 AM

Re: SAIC business news
The poor treatment that the 4S dealers give foriegners should give Roewe poor sales forever.
My 7 years in Shanghai, I had never been treated so poorly as I was from Roewe. I had thought that Roewe was a good automobile until 2 weeks ago at the SIAC dealership where I was not permitted to even look inside or touch the cars.
I felt poorly and left but returned 2 hours later to request a test drive. At that time when I walked in and seen Chinese children jumping in the back seats, people looking and touching every part of the cars yet the same SIAC representative that requested me not to inspect the cars (with a test car parked in front) told me the cars had no batteries even after looking under the hood and I pointed to the battery, she turned and as she walked away told me I could not drive or even sit in the car.

KiwiGuy 09-21-2009 12:11 AM

Re: SAIC business news
SAIC to buy van maker LDV
From China Car Times:

Dr Li’s China Ventures operation is said to be the only bidder now left in exclusive talks with LDV administrators PricewaterhouseCoopers following suggestions that Malaysian group Weststar has finally walked away.

Last week’s long awaited Longbridge inquiry report revealed that Dr Li was paid £1.7 million for consultancy work with MG Rover over a 15-month period.

Dr Li, whose affair with Nick Stephenson was exposed in the report, refused to deny the LDV claim.

Some industry experts have said that a takeover by China Ventures could spell the end for van-making in Birmingham, with a “lift and shift” operation to China ruining hopes of a resumption of production at Washwood Heath.

But a well-placed source said: “Dr Li has very well established contacts with Nanjing and SAIC. Instead of moving the LDV kit 10,000 miles to China, wouldn’t it make far more sense to move it 10 miles to Longbridge?”

For those that aren’t aware who exactly Dr. Li is, she was the girlfriend of an MG-Rover executive that drove MG-R into the ground before selling up to NAC
The odd thing is, SAIC already have a van producing JV going on with IVECO, but what they don’t have is their own IPR to produce their own branded vans. Perhaps what we might see in the future is a full size MG van? Stranger things have happened.

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