SAIC Motor

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This article is about the Chinese automotive company. For similarly-named companies, see SAIC (disambiguation).
Shanghai Automotive Industry Corporation Motor Corporation Limited
Native name
 上海汽车集团股份有限公司
State-owned
Traded as SSE: 600104
Industry Automotive
Founded
  • 1955; 70 years ago (1955) as Shanghai Internal Combustion Engine Components Company
1995; 30 years ago (1995) as Shanghai Automotive Industry Corp. (Group) 2011; 14 years ago (2011) as SAIC Motor Corporation Limited
Headquarters Anting, Shanghai, China
Area served
 Worldwide
Key people
  • Chen Hong
  • (Chairman of the Board of Directors)
  • Shen Xiaosu
  • (Chairman of the Board of Supervisors)
  • Wang Xiaoqiu
  • (President)
Products Automobiles, commercial vehicles
Production output
 5,400,000 units (2021)[1]
Revenue CN¥796.18B billion (2020) [2]
CN¥20,431,037,480 (2020)
Total assets CN¥919,414,755,790 (2020)
Number of employees
 204,815 (2020)
Parent Shanghai's State-owned Assets Supervision and Administration Commission (71.2%)[3]
Divisions
Subsidiaries
List
Chinese name
Simplified Chinese 上海汽车集团股份有限公司
Traditional Chinese 上海汽車集團股份有限公司
Literal meaning Shanghai Automotive Group Joint-stock Limited Corporation
Abbreviation
Simplified Chinese 上汽集团
Traditional Chinese 上汽集團
Website www.saicmotor.com/english/

SAIC Motor Corp., Ltd. (formerly Shanghai Automotive Industry Corporation) is a Chinese state-owned automobile manufacturer headquartered in Anting, Shanghai. Founded in 1955,[4] it is currently the largest of the "Big Four" state-owned car manufacturers of China, namely: SAIC Motor, FAW Group, Dongfeng Motor Corporation, and Changan Automobile, with car sales of 5.37 million, 3.50 million, 3.28 million and 2.30 million in 2021 respectively.[5]

The company produces and sells vehicles under its own branding, such as Feifan, IM, Maxus, MG, Roewe, Baojun (under SGMW), Wuling (under SGMW), as well as under foreign-branded joint ventures such as SAIC-Volkswagen (Volkswagen, Skoda, Audi) and SAIC-General Motors (Buick, Chevrolet, Cadillac). In 2021, domestic-branded cars took 52% of sales.[6][7] It also produces electric vehicles under some of the previously listed brandings, including dedicated EV brands such as Feifan and IM.

It is currently a Fortune Global 100 company, ranked 60 on the list.[when?] Including SGMW, it is also the third largest plug-in electric vehicle (BEV and PHEV) company and second largest BEV company in the world, with 10.5% and 13% global market share respectively in 2021, selling under brand names such as Wuling, Baojun, Maxus, MG, Roewe and Feifan.[8]

SAIC traces its origins to the early years of the Chinese automobile industry in the 1940s, and SAIC was one of the few carmakers in Mao's China, making the Shanghai SH760.[9] Currently, it participates in the oldest surviving sino-foreign car making joint venture, with Volkswagen, and in addition has had a joint venture with General Motors since 1998. SAIC products sell under a variety of brand names, including those of its joint venture partners. Two notable brands owned by SAIC itself are MG, a historic British car marque, and Roewe.

History

File:Shanghai 1964 (14677829658).jpg
A 1964 Shanghai SH760, Shanghai's automotive mainstay for over 25 years

Origins to 2000

Although it has a long history, originating from an automobile assembly factory established in Shanghai sometime around World War II, SAIC, unlike domestic rivals FAW Group and Dongfeng Motors, has only recently attained a position of prominence in the Chinese vehicle industry.[10] A small company in the 1970s,[11] SAIC owes its rise to more than an increase in domestic demand for passenger vehicles.[citation needed] A cooperative agreement made with Volkswagen in 1984[12] followed by the formal establishment of Shanghai Volkswagen Automotive Co Ltd in March 1985[13] allowed it to produce competitive cars with foreign technology. Early success at SAIC may also be a result of guidance provided by local Shanghai authorities; at one time SAIC was simply an extension of the Shanghai Municipal government.[14] For these two reasons and more, SAIC grew swiftly. In the 11 years leading to 1996, annual production capacity increased ten-fold to 300,000 units/year, and the company established itself as one of the leading Chinese automakers.[15]

During this period, SAIC effectively built an entire modern automotive component supply chain in Shanghai from scratch,[16] and the number and quality of locally produced auto parts rose significantly.[17] Cars that were previously assembled in China from knock-down kits provisioned by Volkswagen[18] became products built from parts produced in Shanghai,[19] and between 1990 and 1996 the city more than doubled its contribution to the national output of automotive components.[17] In 1987, the only local parts used in one car, the Volkswagen Santana, were tires, radio, and antenna,[20] but by 1998 over 90% of the components used in its manufacture were locally sourced.[19] A goal set by the Shanghai Municipal government,[14] creation of a local parts industry is an example of the influence that the local government has had on the development of SAIC.

In June 1997, SAIC formed a second major joint venture, Shanghai General Motors Co Ltd, with General Motors.[13][21] The new joint venture began operations in 1998, and helped to drive a doubling in SAIC's vehicle production between 2000 and 2004.[22] Initially partnering with foreign automakers, creating joint ventures with component suppliers, such as the American Visteon,[23] may now help underpin SAIC success.[citation needed]

2000 to 2010

At the start of the 2000s, SAIC made several acquisitions in Korea. In 2002 it participated in GM's purchase of Korean automaker Daewoo, acquiring a 10% stake in the newly formed GM Daewoo company for US$59.7 million,[24] and in 2004 it also assumed control of an ailing South Korean automaker, SsangYong Motor, paying US$500 million for 48.9% ownership of the company.[25] Around this time SAIC created a new holding company for its subsidiaries employed in passenger car production, Shanghai Automotive Group.[26]

In the middle of the decade, SAIC attempted to acquire the British automaker MG Rover, but in 2005 was outbid by another Chinese automaker, Nanjing Automobile.[27] SAIC did manage to obtain some MG Rover technology that was incorporated into a new line of luxury sedans sold under the Roewe marque,[28] and it subsequently purchased the winning bidder.[29]

While the company saw sales success in the late 2000s, with 2.72 million vehicles sold in 2009,[30] its 2004 purchase of an ownership stake in a Korean SUV-maker, Ssangyong, soured. In January 2009, after an additional US$45 million was provided to it by SAIC, SsangYong Motor Company was placed into receivership in Korea.[31] Courts might have mandated SAIC reduce its ownership, and by 2010 a 51.33% share of the Korean company had become a 10% one.[32] The 2009 Ssangyong failure also saw riot police quell protesting Ssangyong workers who staged a 77-day-long sit in.[33] SAIC may have benefitted from exposure to some technology from Mercedes that Ssangyong controlled during this time.[34][35]

2010 to present

In 2010, SAIC produced 3.58 million units, the largest output of any China-based automaker that year.[36]

In June 2010, Magneti Marelli and Shanghai Automobile Gear Works (SAGW) officially launched a new joint venture plant in the Jiading district near Shanghai, China. SAGW, the main Chinese manufacturer of transmissions for the automotive sector, is a subsidiary of SAIC Motor.

In February 2011, SAIC unveiled a new commercial vehicles marque, Maxus.[37]

On 13 April 2011, vehicle assembly resumed at the MG Motor UK Longbridge plant as the first MG 6 to be produced in the United Kingdom came off the production line,[38] but ended in 2016 when SAIC moved production to China.[39] it retained a technical subsidiary SAIC Motor UK on site until 2019.

In 2011, SAIC produced 3.97 million vehicles, the largest output of any China-based automaker that year.[40]

In June 2012, SAIC's United States-based subsidiary Shanghai Automotive Industries Corp USA, Inc. opened a new North American Operations Center in Birmingham, Michigan.[41][42][43] The opening ceremony was attended by Rick Snyder, Governor of Michigan, Oakland County Executive L. Brooks Patterson, and senior executives from General Motors and SAIC Motor.[43] The 30,000-square-foot, three-story facility will house nearly 100 staff and focus on sourcing components.[41]

In 2012, SAIC retained its top spot among domestic rivals by producing around 3.5 million units.[44]

Mergers and company name-changes

The present-day SAIC is the product of numerous mergers and corporate re-structurings. Shanghai Internal Combustion Engine Components Company was founded in December 1955.[13] In March 1958, Shanghai Internal Combustion Engine Components Company and Shanghai Powertrain Equipment Manufacturing Company were merged into Shanghai Powertrain Machinery Manufacturing Company.[13] In January 1960, Shanghai Powertrain Machinery Manufacturing Company was renamed Shanghai Agricultural Machinery Manufacturing Company.[13] In April 1969, Shanghai Agricultural Machinery Manufacturing Company was renamed Shanghai Tractor Industry Company. Shanghai Automobile & Tractor Company was established in July 1984.[13] In March 1990, Shanghai Automobile & Tractor Company was renamed Shanghai Automotive Industry Corporation.[13] Shanghai Automotive Industry Corp (Group) was founded in September 1995.[13]

Marques

SAIC sells vehicles under a variety of brands. Brand names that are exclusive to SAIC include Maxus,[45] MG,[46] Roewe,[46] and Yuejin.[47] Products produced by SAIC joint venture companies are sold under marques including Baojun,[48] Buick,[49] Chevrolet,[49] Cadillac,[49] Iveco,[47] Škoda,[50] Volkswagen,[50] Audi,[50][51] and Wuling.[52][53]

Maxus

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Main article: Maxus

Maxus was formed in 2011 following the acquisition of LDV Group by SAIC in 2010,[54] and produces MPVs, pickup trucks, and SUVs for both domestic sale and global export.

MG

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Main article: MG Motor

MG Motor designs, develops and markets cars sold under the MG marque while vehicle manufacturing takes place at its factories in China and Thailand. MG Motor is the largest importer of Chinese made cars into the United Kingdom.

  • MG 5 II 006.jpg

    MG 5 II

  • MG 6 Pro 004.jpg

    MG 6 II

  • MG Pilot IMG001.jpg

    MG Pilot (MG HS facelift)

Rising Auto (Feifan, R Brand)

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Main article: Rising Auto

Rising Auto (Feifan, 非凡), formerly R Brand,[55] is an offshoot of SAIC's Roewe brand dedicated to new energy vehicles and intelligent vehicles.[56] Early products are rebadged Roewes with the R7 crossover being the first original product. The upcoming following product is the F7 compact executive sedan.

  • Feifan ER6 IMG001.jpg

    Rising Auto ER6

  • Roewe R Marvel R IMG001.jpg

    Rising Auto Marvel R

  • Rising Auto F7 IMG001.jpg

    Rising Auto F7

  • Rising Auto R7 003.jpg

    Rising Auto R7 (ES33 Concept)

Roewe

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Main article: Roewe

Roewe was introduced by SAIC in 2006. It is sold in most export markets outside China under the MG Motor marque.

  • Roewe i5 facelift IMG001.jpg

    Roewe i5

  • Roewe ei6 Max IMG001.jpg

    Roewe i6

  • Roewe RX5 ePlus IMG001.jpg

    Roewe eRX5 Plus

Joint ventures

SAIC participates in cooperative efforts with foreign automakers that see the products of large international companies such as General Motors and Volkswagen made and sold in China.

The following is only a partial list.

iM (Zhiji Motor)

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Main article: IM Motors

SAIC launched a premium auto brand “IM” (dubbed “Zhiji Motor” in Chinese) jointly developed with Shanghai's Pudong New Area government and Alibaba on January 13, 2021. During the brand launch, two concept vehicles under the IM brand were unveiled at the same time including an all-electric D-segment sedan and an all-electric crossover SUV. According to SAIC Motor, “IM” stands for Intelligence in Motion.[57]

Shanghai Volkswagen Automotive

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Main article: SAIC Volkswagen

A joint venture between SAIC and Volkswagen Group. It was founded in 1984 and produces cars under the Volkswagen, Skoda, and Audi brands.

  • Volkswagen Lavida III 001.jpg

    Volkswagen Lavida

  • Skoda Octavia Pro IMG001.jpg

    Skoda Octavia Pro

  • Audi A7L 001.jpg

    Audi A7L

Shanghai General Motors Corporation

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Main article: SAIC-GM

This joint venture between SAIC and General Motors manufactures and sells Chevrolet, Buick, and Cadillac brand automobiles in Mainland China.

  • Chevrolet Menlo EV 002.jpg

    Chevrolet Menlo

  • Buick Enlave Chinese version 001.jpg

    Buick Enclave II

  • Cadillac CT6 facelift 001.jpg

    Cadillac CT6

SAIC-GM-Wuling Automobile (SGMW)

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Main article: SAIC-GM-Wuling

A joint venture between SAIC, General Motors, and Liuzhou Wuling Motors Co Ltd. Based in Liuzhou, Guangxi Zhuang Autonomous Region, in southwestern China, it makes commercial and consumer vehicles sold in China under the Wuling and Baojun brands. SGMW has recently found great success as an electric vehicle manufacturer — as of 2021, the venture's Wuling Hongguang Mini EV city car is the best-selling electric car in China by volume.[58]

  • Wuling Xingchen 001.jpg

    Wuling Xingchen

  • 五菱宏光mini EV 9733 1.jpg

    Wuling Mini EV

  • Baojun E300 20210208.jpg

    Baojun E300 / Kiwi EV

SAIC Iveco Hongyan

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Main article: SAIC Iveco Hongyan

SAIC Iveco Hongyan was established in January 2003 as Chongqing Hongyan and traces its origins back to a Chinese manufacturer established in 1965. The company is focused on producing Iveco-based heavy trucks which are mostly marketed under the Hongyan marque.[59]

  • Public Transport Maintenance 3-39 at Lücunnanzhan (20180701164149).jpg

    Hongyan Genlyon

Nanjing Iveco Auto Co Ltd ("New Naveco")

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Main article: Nanjing Automobile
  • Naveco (Nanjing Iveco) Daily Ousheng 001.jpg

    Iveco Daily Ousheng

Shanghai Sunwin Bus

This joint venture produces passenger buses.[60]

  • 11 S0Q-0026.jpg

    Sunwin iev10

  • Sunwin SWB6120V4LE, based on Volvo B7RLE chassis

SAIC-Charoen Pokphand

SAIC produces MG Motors vehicles through this joint venture with Charoen Pokphand for their Thailand subsidiary.[61]

Technomous

Established with Austrian technology provider TTTech in 2018 for Intelligent and Autonomous Driving solutions.[62]

Sales

SAIC group sales by brand (joint-venture brands excluded)[63][64][65]
Total MG Roewe Rising Maxus/LDV Wuling Baojun iM Hongyan Sunwin
2010 1,424,513 29,603 131,027 - - 1,157,258 - - 33,258 3,098
2011 1,433,387 50,349 112,825 - 2,833 1,210,824 21,854 - 31,500 3,152
2012 1,659,973 79,343 122,952 - 7,076 1,503,868 80,323 - 17,008 3,250
2013 1,884,112 83,896 152,705 - 11,032 1,349,964 100,500 - 28,008 3,783
2014 2,051,240 64,651 126,590 - 21,016 1,628,493 181,586 - 25,000 3,866
2015 2,272,961 83,294 99,350 - 35,071 1,541,516 502,872 - 8,708 2,103
2016 2,533,586 98,714 241,026 - 46,145 1,369,618 760,559 - 15,517 2,007
2017 2,811,224 158,574 385,235 - 71,117 1,138,726 1,016,342 - 40,017 1,213
2018 2,957,136 270,647 466,608 - 84,017 1,197,932 879,077 - 58,037 818
2019 2,621,117 298,000 428,597 - 153,024 1,078,234 604,026 - 58,077 1,159
2020 2,575,775 310,000 384,321 - 192,617 1,184,088 422,550 - 80,077 2,122
2021 2,811,922 471,992 343,283 14,241 232,844 1,470,783 214,947 - 63,007 825
2022 2,784,581 571,887 286,018 29,780 214,155 1,524,960 105,084 5,000 13,107 2,009

Facilities

File:MG Motor UK HQ - SAIC UK Technical & Design Centre.jpeg
MG Motor UK HQ – SAIC UK Technical & Design Centre.

SAIC has numerous production facilities in China, including sites in: Chongqing, Liuzhou, Qingdao, Shanghai, Shenyang, and Yantai.[66] It also had an assembly plant in the United Kingdom, the Longbridge plant,[67] It also has a plant in Chonburi, Thailand, Halol, India and one in Lahore, Pakistan.

Research and development

SAIC operated a large research and development centre in the United Kingdom, the SAIC Motor UK Technical Centre, which as of 2012 employed around 275 engineers and 25 designers.[68] The UK Technical Centre was the principal site worldwide for the development of MG cars,[69] also playing a major role in the development of Roewe products.[70] However in June 2019, SAIC Motor closed the UK Technical Centre making over 300 engineers redundant in the process.[71][72]

See also

Notes

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External links

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« previous — MG Cars timeline, 2000s–present
Type 2000s 2010s
0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9
Manufacturer MG Rover NAC MG MG Motor
Supermini MG 3 SW MG 3
Small family car MG ZR MG 350*
MG 5
Large family car MG ZS MG 6
MG 550*
Executive car MG ZT MG 7
MG 750*
Roadster MG F MG TF MG TF
Crossover MG GS
Supercar MG XPower SV
Note *Roewe models sold under the MG nameplate in South America

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  9. ↑ The home team: Indigenous carmakers are working their way up Archived 13 April 2011 at the Wayback Machine economist.com, 13 November 2008
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  12. ↑ Richter, pp. 67.
  13. ↑ 13.0 13.1 13.2 13.3 13.4 13.5 13.6 13.7 Lua error in package.lua at line 80: module 'strict' not found.
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  29. ↑ "REFILE-UPDATE 2-SAIC to make MG 6 in UK, upbeat on own-brand car" Reuters, 25 November 2009
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  31. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  32. ↑ For court-ordered destruction of SAIC ownership and 51.33% stake, see Lua error in package.lua at line 80: module 'strict' not found.
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  33. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  34. ↑ For possible benefit from exposure to technology, see Lua error in package.lua at line 80: module 'strict' not found.
    • For Mercedes technology in Ssongyang hands, see Lua error in package.lua at line 80: module 'strict' not found.
  35. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  36. ↑ China Car Market 101: Who Makes All Those 19 Million Cars? Archived 22 January 2011 at the Wayback Machine thetruthaboutcars.com, 19 January 2011
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