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Why GM's microvan venture went back to the basics in China's rural market
Yang Jian | 2014/12/19

SHANGHAI -- SAIC-GM-Wuling Automobile Co. this week opened a major assembly plant in the southwest China city of Chongqing. (See a related story in this newsletter.) That's nothing unusual in a growth market such as China. What is more interesting is the company's choice of products. In recent months, Wuling has added two multipurpose vehicles to its lineup -- evidence of its continued focus on China's rural market. That's a good sign for the company's future. Pictured: Yang Jian is managing editor of Automotive News China.

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  Geely owner revamps flagship brand to reverse sales slump
Bloomberg | 2014/12/19

Chinese billionaire Li Shufu is revamping his Zhejiang Geely Holding Group Co.'s flagship brand after setting Swedish automaker Volvo Cars on a five-year renewal. Monday night at the National Aquatics Center in Beijing, Li handed the keys of the carmaker's latest Geely GC9 sedan to members of the Chinese national swim team, which the company is sponsoring.

>> Read Full Story

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  Honda recalls 553,264 vehicles in China to fix Takata airbags
Bloomberg | 2014/12/19

SHANGHAI -- Honda Motor Co.'s two Chinese joint ventures are recalling 553,264 vehicles to fix potentially defective airbags made by Takata Corp., underscoring the global reach of the safety crisis after similar campaigns in the U.S., Canada and Japan.

>> Read Full Story

  Chinese dealers push for an end to sales quotas
Bloomberg | 2014/12/19

China's auto dealers are proposing that the government prohibit automakers from dictating the number of vehicles they sell and extend the duration of distribution contracts to stem losses in the industry. The recommendations were made by the China Auto Dealers Chamber of Commerce in response to a request for feedback from the Commerce Ministry, which is reviewing industry rules implemented in 2005.

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  Volvo's China sales rise on XC60 crossover, stretched S60 sedan
Automotive News China | 2014/12/19

Volvo Car Corp. sold 6,933 vehicles in China last month, up 16 percent from the year-earlier month. The Swedish car company got a boost from rising sales of the XC60 crossover and the stretched S60 sedan, both of which are now produced in China. The XC60 remained Volvo's top-selling model in China, with sales reaching 2,667 in November, according to the company's China office.

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  SAIC-GM-Wuling opens plant in Chongqing
Automotive News China | 2014/12/19

SAIC-GM-Wuling Automobile Co., General Motors' microvan joint venture, has opened an assembly plant in the southwest China municipality of Chongqing. The 6.6 billion yuan ($1.07 billion) factory will build as many as 400,000 vehicles and 400,000 engines a year, according to GM.

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  ZF opens center in Shanghai for sales, aftersales
Automotive News China | 2014/12/19

ZF Friedrichshafen AG has opened a center in Shanghai to support its sales and aftersales services in China. The center has a floor area of 7,500 square meters (80,730 square feet) and will house a training area for aftermarket parts dealers, a spare parts distribution hub and a remanufacturing operation, said Shih-Jen Yeh, managing director of ZF Services China.

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Honda recalls 553,000 vehicles in China to fix Takata airbags
Bloomberg | 2014/12/17

SHANGHAI -- Honda Motor Co.'s two Chinese joint ventures are recalling 553,000 vehicles to fix potentially defective airbabs made by Takata Corp., underscoring the global reach of the safety crisis after similar campaigns in the U.S., Canada and Japan. Guangqi Honda, one of its Chinese joint ventures, will recall 527,136 Accords produced from May 2002 to December 2007 to replace the driver-side airbags, according to the website of China's General Administration of Quality Supervision, Inspection and Quarantine.

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  Dealer group urges Beijing to ease car inventories
Automotive News China | 2014/12/16

The China Automobile Dealers Association has appealed to China's central government to prevent automakers from burdening dealers with excessive inventories. The group says it warned two government ministries that many Chinese dealerships have suffered financial losses caused by high inventories.

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  VW's sales are flat in November as market slows
Automotive News China | 2014/12/16

Volkswagen Group's various brands delivered 310,000 units in China last month, failing to boost sales from a year earlier as the German automaker felt the impact of China's slowing economy. In November, sales of Volkswagen-brand vehicles declined 8 percent year on year, but VW's other brands fared better. Audi's sales rose 18 percent; Skoda's deliveries jumped 47 percent and Porsche's sales increased 21 percent.

>> Read Full Story
 

TOP 10 HEADLINES
OF THE LAST WEEK
Takata recall shows that China needs an auto safety czar

China's light-vehicle sales rise 5% in November

BMW likely to stay No. 2 in China's luxury race

Audi's China deliveries, fueled by crossovers, jump 18% in November

Mercedes exec vows to boost China sales to catch Audi, BMW

Great Wall's November sales climb 7% on robust SUV demand

Chinese Internet company seeks to build EVs

China's EV goals short-circuited by lack of charging stations

Foreign automakers add capacity despite economic slowdown in China

GM venture launches MPV for businesses

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