GM and SAIC to Develop, Produce Energy-Efficient and

Environmentally Clean Vehicles in China 
SHANGHAI, China, Oct. 29 /CNW/ -- General Motors Corp. (GM) Chairman and
CEO Rick Wagoner and SAIC Motor Corp. Ltd. (SAIC Motor) Chairman Hu Maoyuan
signed a Memorandum of Understanding today in Shanghai to explore
opportunities for the local application and production of energy-efficient and
environmentally clean vehicles in China. 
The two partners will explore the expansion of the current
GM-Allison-SAIC hybrid demo bus program announced last October to a larger bus
fleet for Shanghai's mass transportation system in advance of the 2010 World
Expo in Shanghai. 
GM and SAIC will also pursue passenger car hybrid options as well as
other clean-energy vehicle applications including hydrogen fuel cell
technologies for China's relevant vehicle platforms. The goal is to have
available a number of different models designed to meet the different needs of
China's consumers. The introduction of locally manufactured vehicles is
targeted to be available beginning in 2008. 
According to Rick Wagoner, the two companies have the technical advantage
of their Pan Asia Technical Automotive Center (PATAC) joint venture in
Shanghai. The well-established, eight-year-old local engineering and design
center will be responsible for hybrid system application engineering and
integration in vehicles. 
PATAC's designers, engineers and technicians will be involved in a number
of hybrid programs applicable to vehicles manufactured by Shanghai GM. They
will build complete demonstration vehicles, assessing various hybrid concepts
for near-term production and developing local competency in regenerative
braking, electric power steering and high-voltage battery systems. 
Many of these technologies may have direct application in the development
of hydrogen fuel cell vehicles, which both GM and SAIC believe is the ultimate
solution to taking the motor vehicle out of the environmental equation,
guaranteeing energy security and enabling a greater number of people to have
access to environmentally clean personal transportation. 
"To make this happen, we need to bring down costs and build the necessary
infrastructure -- and the best way to do that is by business and government
working together," Wagoner said. 
"The collaboration between SAIC and GM brings together the best resources
that our two countries and their two industry leaders have to offer," Wagoner
added. "As a company with a major stake in China, GM believes that we must
focus on the industry of tomorrow. By working together, we can help take China
one step closer to the era of sustainable transportation." 
"SAIC Motor will focus on technology and innovation in the development of
clean energy vehicles," said Hu Maoyuan. "We will work closely with research
institutions to actively promote the development of key technologies. We also
attach great importance to cooperation with our joint venture partner. By
further strengthening our partnerships and enabling our joint ventures to play
a major role in the development process, we hope to get clean energy vehicles
to the market at the earliest possible date." 
Today's announcement builds on an earlier agreement signed by GM and SAIC
in Shanghai on Oct. 30, 2004, for the development and commercialization of
clean energy vehicles. The agreement includes a series of joint programs to
promote hydrogen fuel cells and other advanced vehicle technologies. 
As part of the earlier agreement, GM and SAIC have launched a local
demonstration of the HydroGen3, GM's first fuel cell vehicle to go into
commercial operation. The local HydroGen3 made its debut in September. The two
companies are also planning to engage in discussions around infrastructure
development and in dialogue around relevant standards and regulations. On
Sept. 28, GM China and SAIC opened an exhibition on hydrogen fuel cell
technology at the Shanghai Science and Technology Museum to educate the
Chinese public on sustainable transportation. 
General Motors Corp. (NYSE: GM), the world's largest automaker, has been
the global industry sales leader since 1931. Founded in 1908, GM today employs
about 325,000 people around the world. It has manufacturing operations in 32
countries and its vehicles are sold in 200 countries. In 2004, GM sold nearly
9 million cars and trucks globally, up 4 percent and the second-highest total
in the company's history. GM's global headquarters are at the GM Renaissance
Center in Detroit. More information on GM can be found at . 
For further information: NOTE TO EDITORS: For additional media information 
visit; CONTACT: Rob Leggat of General Motors Asia Pacific, 
CO: General Motors Corporation
-0- Oct/29/2005  9:35 GMT
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