TOKYO - General Motors plans to announce on Tuesday, June 4, that it is entering China's large and fast-growing minivehicle segment through a new venture with microvan specialist Liuzhou Wuling Automotive Co. and Shanghai Automotive Industry Corp.
GM will pay about $30 million for a 34 percent stake in the venture. Shanghai Automotive will own 50.1 percent and Wuling 15.9 percent of SAIC-GM-Wuling Automotive Stock Ltd. Co.
Last year about 700,000 minivehicles were sold in China, representing about 30 percent of the total market and the largest single segment of the market.
Shanghai Automotive, through partnerships with GM and Volkswagen, is China's largest automaker. Wuling is China's eighth largest.