China: SAIC's GM and VW ventures see sales growth - report

General Motors and Volkswagen expect to post strong sales from ventures with a Shanghai-based partner in 2004, despite a potential slowdown in the world's fastest-growing major car market, according to a Reuters report. Xiao Guopu, a vice president at partner Shanghai Automotive Industry Corp. (SAIC), on Wednesday told the news agency that market leader Volkswagen will see vehicle sales at its venture in China's richest city rise 16% to 460,000 this year from 396,000 last year while GM will post a 39.2% jump in 2004 sales from its venture with SAIC, to 280,000 from 201,188. According to Reuters, SAIC sees the Chinese market as a whole coming off its explosive pace of expansion in 2003 - a banner year that should see car purchases double to about two million sedans. "Total car sales in China are expected to hit 2.5 million in 2004," Xiao told Reuters at a media event, adding: "This still gives us an enormous amount of room for development."