GM looks to China for growth

• Source: xinhua
• [12:57 July 16 2009]
• Comments

Having emerged from bankruptcy protection last week, the new General Motors Co. is looking to the fast-growing Far Eastern markets, especially China, the Detroit News reported on Wednesday.

"When the dust settles from this automotive crisis, it'll be clear to see that Asia is the epicenter of growth," said Michael Dunne, managing director of J.D. Power and Associates' China operations.

China is on track this year to rival and possibly surpass the United States, with sales expected to exceed 11 million vehicles.

The main markets of the Asia-Pacific region stretching from India to Japan are expected to generate combined sales of more than 21 million cars and trucks this year, roughly double the sales forecast for the United States, according to J.D. Power.

As a new GM emerged from bankruptcy last Friday, CEO Fritz Henderson said Nick Reilly, the Shanghai-based president of GM Asia Pacific, would remain in China as the new head of international operations.

Reilly, a well-traveled British native, knows GM's overseas operations, having worked for the automaker in many countries.

"They're putting money on a strong horse. Reilly has a very good reputation," said analyst Jim Hossack at consulting firm Auto Pacific Inc. in Tustin, California.

Prior to taking over management of GM Asia Pacific, Reilly worked in the Republic of Korea at GM Daewoo Auto and Technology Co., which develops many Chevrolet models sold worldwide.

He joined GM's Detroit Diesel Allison division in Britain in 1975, and went on to work for GM in Belgium, Mexico and the United States. After returning to Britain, he became chairman of Vauxhall, the brand under which Opel cars are sold there, in 1996.

He was promoted five years later to head of marketing for GM Europe, then transferred to Seoul in 2002 to lead the transition team forming GM Daewoo.