GM, SAIC open new PV plant in northeast China

BEIJING -(Dow Jones)- General Motors Corp. (GM) and one of its joint-venture partners in China opened a new passenger-vehicle plant Wednesday, the U.S. automaker said in a statement.

The plant has an annual production capacity of 150,000 units and is the second plant that Shanghai General Motors Corp., GM's 50-50 joint venture with SAIC Motor Corp. (600104.SH), has opened in Shenyang city in northeast China.

It is one of three facilities worldwide that will initially produce the Chevrolet Cruze compact car, the statement said.

"The opening of this plant is part of GM's ongoing pledge to grow our operations in China," said Kevin Wale, president of GM China Group.

GM's first plant in Shenyang with SAIC Motor makes the Buick GL8 and the Buick FirstLand minivan. It has an annual production capacity of 50,000 units, the statement said.

The joint venture also has passenger-vehicle-making facilities in Shanghai and the northeastern city of Yantai in Shandong province, said spokeswoman Sophia Luan.

Additionally, GM operates a commercial mini-vehicle joint venture, SAIC-GM-Wuling Automobile Co., in China with SAIC Motor and Liuzhou Wuling Motors Co. People familiar with the situation said earlier that GM is looking to increase its 34% stake in the three-way venture.