Shanghai GM sells two millionth Buick in China

Shanghai, June 22 (Gasgoo.com) Shanghai GM, General Motors' passenger car venture in China, has sold its two millionth Buick in the Chinese market, as sales have rapidly picked up in recent years with the country's economic boom, AFP reported today.

"It took eight years for Shanghai GM to sell its first one million Buicks, but only three years to sell its second one million units," said Kevin Wale, President of GM China, in a statement. "This demonstrates the ongoing popularity of Shanghai GM's leading mainstream brand in what is now Buick's largest market."

The two millionth unit, a red New Regal sedan built by a joint venture with China's largest automaker Shanghai Automotive Industry Corp (SAIC), was delivered to its owner in the southern city of Guangzhou, the statement said.

Despite its US parent filing for bankruptcy, GM China has seen sales hit new highs on strong demand from the nation's increasingly affluent middle class and incentives to stimulate domestic consumption.

GM's sales in China hit a record high in the first five months of this year, jumping 33.8% from a year earlier to 671,148 units. Sales in May rose 75% y/y to a record 156,000 units. Shanghai GM's sales in the five-month period grew 12% y/y to 228,000 units, including 56,011 units sold in May (up 50% y/y).

GM China is still aiming to double sales to more than two million units annually and will "probably need to build another plant in the next five years", Wale said.