Joint venture is looking to build on the rural success of its MPV offering
The new research and development centre in Liuzhou, Guangxi province will develop products for SAIC-GM-Wuling's Baojun line of passenger vehicle products. Construction of the site will be divided into four phases and is set to be finished by December 2018.
The joint venture has already seen a good deal of success in the compact MPV market with its Wuling Hongguang, especially popular in rural areas. More than 40% of the organisation's sales are currently made up of Hongguang vehicles.
Despite success in the MPV market, SAIC-GM-Wuling's Baojun brand has been trailing. A sustained focus on other projects has led to delays of new releases under the Baojun banner, which has, in turn, slowed overall sales.
The new R&D centre will share resources between the Wuling and Baojun brands that will allow for more expedient product turnaround.