GM signs mini-vehicle agreement

General Motors has signed a deal with Shanghai Automotive Industries Corp (SAIC) and Liuzhou Wuling Automobile Co to set up a joint venture to produce a new series of mini-vehicles in Liuzhou, Guangxi, Xinhua reported. GM will hold 34 per cent of the venture, SAIC 50.1 per cent and Wuling, in which SAIC holds a 75.9 stake, the remaining 15.9 per cent. The partners plan to invest Yn2bn in the project over the next eight years. On completion, it is expected to produce 300,000 vehicles a year and have annual sales of Yn16bn.