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GM seeks growth in China by new-energy vehicle

George Gao From Gasgoo.com| December 10 , 2008

Shanghai, October 23 (Gasgoo.com) Amid the financial crisis, General Motors (GM) is seeking its further growth in the China market by promoting the new-energy technologies and launching more new-energy models, said China Business Daily today.

On October 20, GM held a media workshop to share its world-leading technologies in sustainable biofuels with China. The workshop reinforces GM's new energy strategy centered on energy security and diversity and supports China's sustainable development of automotive energy and transportation systems. GM believes sustainable bio-fuels are the most feasible near-term solution among all alternative energy sources with the potential to displace petroleum.

And on October 21, GM displayed its zero-oil, zero-pollution Chevrolet Equinox hydrogen-fuel cell car in Beijing, kicking off the China tour of GM's hydrogen-powered vehicle to demonstrate GM's cutting-edge technologies of clean energy vehicles and appeal to the general public for more support for eco-friendly energy development. GM said it will introduce more Chevrolet Equinox hydrogen-fuel cell cars to China in the coming two years.

GM seeks growth in China by new-energy vehicle

In addition, GM will introduce its EREV (extended range electric vehicle) Chevrolet Volt to China for production by 2011 to meet the Chinese market demand for new-energy vehicles, according to Bob Lutz, GM vice chairman of product development. Chinese elements were well considered in the design of Chevrolet Volt, which indicates the electric automobile has entered a new stage. And China will be a big market for electric vehicles like this model.

GM will continue to share with China the research and development (R&D) results in the area of new energy from its research centers and partners around the world, including the R&D and market applications of next-generation, non-food based cellulosic ethanol. China can produce cellulosic ethanol on marginal lands from wood waste, energy crops such as switch-grass and even garbage, and China is in a good position to benefit from the development of such sustainable bio-fuels.

GM sees China as one of the first markets and production sites to promote the alternative propulsion systems. GM is committed to helping accelerate the development of new energy vehicles in China's automotive industry through its advanced solutions. It will also leverage these solutions to provide more energy efficient and environmentally friendly products to Chinese vehicle users.

Though GM also felt the impact from the downturn in China's auto market over the past two months, the sales of the U.S. car giant have grown considerably from one year earlier, and this growth will continue in the rest of this year. In the first nine months of 2008, GM's sales in China had increased by 10.2% year on year, with a stable market share of 12%.

By promoting its new-energy technologies and launching more new-energy models, GM expects to boost its market growth in China, the world's second largest auto market after its home market the United States.

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