SAIC Passenger Car up Breaks Out

When joint venture brands layout into small size automobilesegment, SAIC starts to break out from upwards. The company tries to break out its brand and price ceiling.

“SAIC discovers multi-brans and high-end segment. With our product line strategy adjustment, our brands shall be adjusted following. It shall be the most important thing for SAIC in the future. At present, we are deploying intensively.” JIANG Jun, vice general manager of SAIC passenger car tells reporter of during interview.

From industry perspective, with more and more stiff competition in Chinese automobile industry, it is no other way instead of product strength and high-end product reputation build of China owned brands. With abundant investment and slow achievement, it is a rough way for them. As for SAIC, how to balance its cost and profit is the key task for this year.

SAIC wants to have more premium bargaining power by total adjustment.

SAIC has published its new powertrain system “CUBE-TECH”, new Roewe concept car W5 and couple of new energy car waiting for mass production at Beijing Auto Exhibition this year. CUBE-TECH powertrain is developed by SAIC and Roewe together, and both of them share intellectual property and core technology around the world. The new technology is able to gear upon Roewe and MG. besides, it also able to export to Europe and Southeast Asia.

As for SAIC passenger car, powertrain is the bottleneck for China owned brand for long term. As for SAIC, the first important thing is to narrow distance from Roewe, MG to joint venture brands. Therefore, CUBE-TECH introducing is the important move for SAIC passenger car brand reputation build.

JIANG Jun says:“it is a step by step phrase for China owned brand development. There have no other ways rather than upwards adjustment. We want to upgrade SAIC passenger car brand reputation and performance, and build SAIC passenger car as international competency brand further.”He believes that SAIC cannot follow joint venture’s ceiling to go down tend, but shall move opposite instead. The adjustment for SAIC will reflect onto product line and core technology rather than brand only in the next 12 months.