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Thursday, May 14, 2009

Would you buy a GM hybrid made in China?

Would you buy Chinese hybrid cars if they were made by GM?Is China GM's future

The Chinese automarket is growing, fast. This year more cars might be sold in China than in America, yet the auto sales potential in China has barely been scratched.

Today, GM is a strong player in China and its Buick brand is probably the hottest name in the Chinese auto market. Consequently, GM will eventually produce quite a few cars in China for the Chinese market, but they might also export some of those cars back to America.

If GM made a top quality hybrid in China and exported it back to America, would it sell if priced competitively?

Labels: Hybrid Vehicles

posted by Dahcredyns at 6:39 AM

15 Comments:

Blogger LB said...

No way, man. Korean - yes, Chinese - not in the next decade.

7:45 AM  
Blogger Dahcredyns said...

So, I'm assuming that's only because China is too new to auto production. However, once they are established, then you would?

I wonder what GM die-hards would do? Of course, do GM die-hards care about hybrids? JK to any GM fans that might read this post.

8:24 AM  
Blogger kpdriscoll said...

GM's exported enough labor abroad. We'll need manufacturing here to get through these economic woes. I'd think Honda or Toyota would be making them here by then.

Just like I'd buy an Ohio Accord before a Mexico Fusion, I'd buy a US built "foreign" hybrid before a GM one built in China.

8:48 AM  
Blogger LB said...

Dahc, not because it is too new. Because China is producing a lot of crap. I want to be sure I buy something reliable. May be not Japanese-reliable, but at least Korean-reliable.

9:28 AM  
Blogger Dahcredyns said...

kp-

That's the angle I find interesting.

The government isn't focused on saving the US auto industry, it seems focused on saving the UAW-dominated aspect of the US auto industry.

The Big 3 have lost money for many years now making vehicles in the US, the only things keeping them afloat were profitable foreign markets and huge profit margins on gas-guzzlers. Despite the concessions made by the UAW and the help to be given on legacy costs, can the US automakers compete at developing profitable small cars and other fuel efficient vehicles?

I don't know, but the signals GM is already sending are a bit alarming. Even the Volt, today at least, is built using a foreign engine an a foreign battery. Yes, this is supposed to come to America, but will it profitable under the business model that has already bankrupted the auto industry?

On the other hand, why not some incentives for Toyota to develop hybrids in the US with batteries manufactured in the US?

I'm 100 percent for US autoworkers, but I'm not so sure about the UAW.

9:36 AM  
Anonymous Anonymous said...

If China can demonstrate reasonable quality - hells yes. (Remember Japanese goods were considered cheap and poor quality for a while after the war... I think the Chinese are rounding the quality curve) Combine that with the very reasonable price and its a win-win.

Besides, EVs and EREVs take less work to make reliable - no transmission, etc. Basically like my old R/C car - simple! Main worry is the longevity of the battery.

Right now, Volt is my first choice when my corolla dies, assuming it ever sees the light of day, but if the BYD F3DM were available in the US, it would be a very strong second, followed by Mitsubishi iMiEV in 3rd. I'll fall back to Prius and be satisfied if need be.

9:40 AM  
Blogger Dahcredyns said...

LB-

That's basically what I figured. Still, I would assume that those preferring US-made vehicles would be pretty angry about GM cars sold in the US, but made in China. I wonder if they would rather own such a vehicle, or a Toyota made in Detroit.

9:42 AM  
Blogger LB said...

I know about Japan and Korea. Surely, China will demonstrate the reasonable quality someday. That would not be, however, sooner than next decade.

9:47 AM  
Blogger Dahcredyns said...

anon-

What about the plug-in Prius?

I've spent a good amount of time in the iMiev. It's an interesting vehicle, but it definitely felt a little small and a little cheap.

Also, while EVs are in theory more reliable, I wonder how long that will be the case.

Already I've heard of transmissions for EVs to help them maintain their batteries more efficiently. Ultimately, I think battery management systems could be big differentiators between brands and they could become quite complex.

Inevitably, I think EVs will become much more technically complex than we envision today simply as a function of increasing their performance at all levels.

Today, for example, its often cheaper to replace a computer than fix it because repairing the electronics is quite expensive on an hourly basis. Might not the same thing happen to EVs?

9:52 AM  
Anonymous Anonymous said...

Does anyone recall HONDA or even Toyota in the 1970s?? It was as big as a large trashcan and was mostly :(. Does anyone recall HYUNDAI in the 1990's ?? It was mostly ;(
Does anyone realize that China can make incredible quality in less than 2 more years that can compete with Honda or Toyota and at about 4-7k LESS in sticker price for similar HYBRID vehicle with great warranty ??
Its real and its coming..I even envision at least 1-2 Chinese auto plants HERE...laugh now in 2-3 years you will buy one! ha

1:49 PM  
Blogger LB said...

Korean autos are two decads in production. Yet, they are not as reliable as Japanese cars. The same would probably be true for Chinese cars. They are not making things good, they make them cheap. That is the current trend.

2:09 PM  
Anonymous Anonymous said...

well check the reliability of cars like 2007-8 Hyundia Accent or Sonata, or the Kia Rio ...none of my friends also have had even 1 tiny issue with any of Hyundai/kia cars and some have over 150k on them...I was stunned to hear that but it appears true!

3:32 PM  
Blogger Indigo said...

Indigo Incarnates

There is no way I'd buy a Chinese car. Basically, I find their approach to human rights and ecology utterly morally bankrupt. I'd buy a Kentucky Camry before I'd by a Chinese GM.

4:51 PM  
Blogger LB said...

May be know, they are approximately on the same quality page. Recall, however, that it took a couple of decades. And they are less fuel efficient. I got a loaner Kia Ria (150 hp). I wondered how such a small car could get 23-25 mpg for basically highway driving. The similar Corolla with auto transmissions gets 30+ mpg.

5:58 PM  
Blogger Dahcredyns said...

I think China will probably come on line pretty fast, probably faster than other Asian automakers in the past. Nonetheless, I still think China is, minimally, several years away from selling quality vehicles in the US, let alone quality hybrids.

Of course, if they can significantly under price the competition, then all bets are off!

9:20 AM  

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