Two model projects of GAC FCA approved by GAC Group

Shanghai (Gasgoo)- GAC Group announced that its board of directors agreed to implement the K4 MCA model project of GAC FCA, a joint venture of GAC and Fiat Chrysler. The investment involves RMB 511.06 million, which will be raised by the joint venture.

GAC's board of directors also passed another proposal about GAC FCA's 553 GSE-T4 model project, and agreed GAC FCA to implement the project. Similar to the K4 MCA model project, the 553 GSE-T4 model project's RMB 200.68 million investments will be also raised by GAC FCA itself.

What's more, the board of directors also agreed GAC Motor to adjust its A26 model project, which involves RMB 463.93 million. Specifically, a RMB 204.62 million investment will come from the group's capital increase in GAC Motor, while another RMB 259.31 million R&D cost will be arranged by GAC Group.

GAC Group announced that the company delivered a total of 178,962 vehicles in June, achieving a year-on-year growth of 4.62%. In the first half of 2018, the group's cumulative car sales reached 1,016,779 units, climbing 5.53% over the previous year.

GAC Motor saw its June sales drop 14.43% from a year ago with 37,105 vehicles delivered. For the first six months, the automaker's sales rose 6.9% year on year to 268,204 units, completing 38.31% of its 2018 sales goal. Its monthly sales drop partially resulted from the continuous sales decline of the Trumpchi GS4, whose year-on-year decrease was widened to 14.4% last month from 13% in May.