2017 was a hot year for General Motors (GM, Financial)Â Â in China. The leading U.S. automaker sold a record 4.04 million vehicles, up from 4.4 percent as compared with sales volume in 2016. 2017 marked the first time that China gained supremacy over the U.S. in becoming Cadillac’s biggest market. SUVs, in particular, have become a hot-ticket item.
In December, the automaker registered a solid 13.1% December sales gain, selling 491,702 vehicles in China. Major GM brands such as Cadillac, Baojun and Buick recorded immense gains in December auto sales. Each of the brands saw their best-ever full-year sales figures. SUVs registered a mammoth 37% sales gain on a year-over-year basis.
How did the brands fare?
Cadillac sales jumped 28.5% year-over-year to 17,217 vehicles. December marked the brand’s 22nd straight month of double-digit sales growth. On the other hand, Cadillac experienced a 51% sales growth in 2017 on account of the impressive performance of XT5 crossover, the ATS-L and the XTS sedan. For the whole year, Cadillac sales amounted to 175,489 vehicles, up 50.8% from 2016.Â
Buick’s performance was also standout as its December sales totaled 126,804 units, up 20.3% on a year-over-year basis. The robust performance that Buick pulled out in December helped the brand to eke out a 0.2% gain for the whole year, selling 1.18 million units. Buick launched seven new and fresh models in the Asian economy in 2017.
Baojun’s December volumes came in at 137,956 units that helped the brand to record a 36.7% growth year-over-year. Full-year sales stood at 996,629 units, up 44.8% from 2016. The full-year sales gain was mainly powered by solid demands for Baojun 510 SUV and Baojun 310 Wagon.
As far as Chevrolet is concerned, its December, as well as full-year growth, has been remarkable. December volumes were 78,661 units, up 6.6% on a year-over-year basis. For 2017, total sales were 547,561 units, up 4.2% as compared with 2016. Chevy Equinox and Malibu sedan were sold in large numbers and accounted for approximately 22% of all the Chevy vehicles sold in China in 2017.
GM’s Wuling was the only brand whose sales dropped in 2017. Although total sales surpassed 1 million units, it witnessed a 16.3% sales drop from 2016.
Last word
Solid gains at the company’s major brands ensured that the Detroit-based automaker ended the year on an ecstatic note. GM would enter 2018 with great zeal and confidence. Matt Tsien, GM executive vice president and president of GM China, said:
“Consumers’ trust in our brands will help us achieve sustainable and high-quality growth going forward,” He further added: “We will continue to bring the right products and technology to market to meet increasingly diverse demands for personal mobility.”
In addition, the company has more plans regarding its China expansion. The U.S. automaker expects to launch 20 new electric cars in China by 2023.Â
Disclosure: I do not hold any position in the stock mentioned in this article.
