SAIC Motor and General Motors Renew Partnership for Another 20 Years

On August 5, SAIC Motor and General Motors signed a joint venture renewal agreement in Shanghai, extending the term of their SAIC-GM joint venture by 20 years to 2047. Jia Jianxu, President of SAIC Motor, and Lu Xu, Senior Vice President of General Motors and President of General Motors China, signed the agreement on behalf of the respective shareholders.

The original joint venture agreement between SAIC and GM was signed on October 31, 1995, with the joint venture company officially established in June 1997. The initial term was 30 years, set to expire in June 2027. This renewal was completed nearly a year ahead of schedule.

Previously, SAIC Volkswagen renewed its partnership until 2040, and GAC Honda until 2038. By directly renewing for 20 years, SAIC-GM has sent a clearer signal of its commitment to long-term cooperation.

The focus after the renewal is on local R&D and overseas markets. On August 5, SAIC Motor disclosed that both parties would support R&D led by local teams and promote products defined, developed, and manufactured in China to serve global markets. Compared to the previous joint venture model, which primarily focused on product introduction and local adaptation, the role of Chinese teams in product development has been further strengthened.

As the technical foundation for this transformation, the Pan Asia Technical Automotive Center has launched the "Xiaoyao Super Fusion Architecture," developed under the leadership of Chinese teams. This architecture is compatible with three powertrain routes—pure electric, plug-in hybrid, and extended-range electric—and covers various vehicle types, including sedans, SUVs, and MPVs. Buick's high-end new energy sub-brand, "Zhijing," has already begun laying out its product lineup based on this architecture.

According to the plan, SAIC-GM will launch at least 30 new energy vehicle models by 2030. The Buick Zhijing E7 is scheduled for export overseas in October this year, becoming SAIC-GM's first high-end new energy vehicle to go global. Subsequently, it will expand into markets in the Middle East, Africa, South America, and the Asia-Pacific region.

The renewal does not change the 50:50 shareholding framework between the two parties.

The renewal was completed as both parties' businesses in China continued to improve. General Motors' financial report for the second quarter of 2026 showed that its China business remained profitable; SAIC-GM's total terminal sales in 2025 were 562,000 units, and it has maintained profitability for five consecutive quarters.

New energy business has been the main source of recent growth. In the first half of 2026, SAIC-GM sold nearly 50,000 new energy vehicles, a year-on-year increase of 81.1%. The Buick Zhijing E7 delivered over 10,000 units in its first month on the market, setting a record for the fastest delivery milestone of 10,000 units for a joint venture new energy vehicle.

However, the transformation still needs to be reflected in sales figures. SAIC Motor's production and sales flash report for July 2026 showed that SAIC-GM's monthly sales were 34,800 units, a year-on-year decrease of 17.7%; cumulative sales from January to July amounted to 265,900 units, a year-on-year decrease of 7.45%.

SAIC-GM's cumulative sales have exceeded 24 million units. Entering the next 20 years, it aims to re-establish growth, relying on local R&D and overseas markets.