Guangzhou Automobile Group Co., Ltd. (GAC Group) is a Chinese state-owned automobile manufacturer headquartered in Guangzhou, Guangdong. Founded in 1954, it is currently the fifth largest automobile manufacturer in China, with 2.144 million sales in 2021.

Guangzhou Automobile Group Co., Ltd.
TypePublic
SEHK2238, SSE: 601238
IndustryAutomotive
Founded1955; 67 years ago (1955)[1]
Headquarters,
China
Area served
China
Key people
Qing Hong Zheng (Chairman)(acting)
ProductsCommercial vehicles
Passenger cars
Buses
Automotive components
Production output
2,100,000 units (2021) [2]
ServicesVehicle leasing
After-sale services
Vehicle finance
RevenueRMB 12,964,000,000 (2012)[3]
RMB 1,134,000,000 (2012)[3]
ParentGuangzhou Automobile Industry Group
DivisionsTrumpchi
SubsidiariesDenway Motors
GAC Bus
GAC Changfeng Motor
Websitewww.gac-motor.com
GAC Group
Simplified Chinese广州汽车集团股份有限公司
Traditional Chinese廣州汽車集團股份有限公司
Literal meaningGuangzhou Automobile Group Co., Ltd.

The company produces and sells vehicles under its own branding, such as Trumpchi, Aion, Hycan as well as under foreign-branded joint ventures such as GAC-Toyota, GAC-Honda, GAC-FCA (Jeep) and GAC-Mitsubishi. It also produces electric vehicles under some of the previously listed brandings, including dedicated EV brands such as Aion and Hycan.

In 2021, it was the fourth largest Chinese plug-in electric vehicle manufacturer in the Chinese market, with 4% of market share.[4] It sold 123,660 units of EVs in 2021, and over 20,000 units in March 2022, with plans to double EV production capacity to 400,000 a year by December 2022.[5][6][7]

It produces buses under the GAC Bus brand. GAC is currently known for its Honda-branded auto producing joint venture with this Japanese automaker, but the company has a total of five foreign partners—more than most Chinese automakers. These partnerships allow it to produce foreign-branded products for sale in China. These brands include: Fiat, Jeep, Honda, Mitsubishi, and Toyota. Other brand names associated with GAC are Everus, for consumer vehicles, and Hino.

HistoryEdit

Guangzhou Automobile Group Co., Ltd. was founded in 1955,[1] and in 2005[8] become a holding of Guangzhou Automobile Industry Group[9] and a joint-stock company.[10] As of 2009 it was the 6th-largest automaker in China.[11]

In 2009, the company acquired 29% of the Chinese sport-utility vehicle maker Changfeng Automobile, becoming its biggest shareholder.[12] GAC purchased the remaining portion of Changfeng in 2011 completing its acquisition of the company.[13]

Previously a backdoor listing via Denway Motors,[11] GAC became listed under its own name on the Stock Exchange of Hong Kong in 2010.[12] In that year shareholders of Denway Motors approved its privatization by GAC.[14] Denway Motors was subsequently delisted on 25 August 2010 and replaced by Guangzhou Automobile Group (SEHK2238) on 30 August 2010 via stock swap.[12]

In late 2010 GAC purchased 51% ownership of Gonow, a midsize Chinese automaker of sport-utility vehicles, subcompacts, and pickup trucks.[12]

In December 2010 GAC launched the new Trumpchi marque. Its initial product was based on the Alfa Romeo 166.[15][16]

In 2010 GAC was among the ten largest Chinese carmakers[17] reaching number six[18] and selling 724,200 vehicles.[19]

2011 saw the company retain its position as the sixth-largest Chinese automaker by production volume, with GAC making 740,400 vehicles in that year.[20]

In early 2012, the company was listed on the Shanghai Stock exchange.[21]

SubsidiariesEdit

TrumpchiEdit

Trumpchi is an automotive marque owned by GAC Group and launched in December 2010.

GAC AionEdit

GAC New Energy Automobile Co is the NEV arm of GAC. GAC New Energy produces their own EV brand, Aion.

HycanEdit

Hycan is a brand by GAC-NIO New Energy Technology Co., Ltd., a joint venture between Chinese automobile manufacturers GAC Group and NIO Inc., founded in April 2019 to produce electric vehicles. In early 2021, GAC took a controlling stake in the company, diluting Nio's share to 4.5%.

Changfeng Motor (Leopaard) (discontinued)Edit

In 2009, GAC owned 29% ownership of this SUV-maker[22][23] a purchase supposedly imposed by the Chinese state as a condition of a then-upcoming joint venture with Fiat.[24] GAC completed its acquisition of Changfeng in 2011.[13] In 2012 Changfeng Group began moves to re-enter the vehicle business culminating in the move to a new headquarters in Changsha in January 2013 and the establishment of a new subsidiary, Hunan Liebao Automobile Co. Ltd., alongside the continuing Anhui Changfeng Yangzi Automobile Manufacturing Co., Ltd., to oversea manufacturing and marketing of vehicles under the Liebao or "Leopaard" brand.[25]

Gonow (discontinued)Edit

Gonow (officially Zhejiang Gonow Auto Co., Ltd.) is a Chinese manufacturer of automobiles, commercial vehicles and SUV's headquartered in Taizhou, Zhejiang and a subsidiary of GAC Group. It markets its products under the brand name GAC Gonow in China and as Gonow in other markets.

Joint venturesEdit

GAC Fiat ChryslerEdit

Fiat signed on to a joint venture with GAC on 6 July 2009,[26][27] and GAC FIAT Automobiles Co Ltd was incorporated on 9 March 2010.[28] The new company has a production base in Changsha, Hunan Province,[29] that opened on 28 June 2012[30] to manufacture the Dodge Dart-based Fiat Viaggio.[31]

GAC HondaEdit

Guangqi Honda is a 50:50 joint venture between GAC and Honda,[32] which has been making a number of Honda and Acura-branded vehicles for the Chinese market since 1999. It started sales of its own brand, Everus in 2011.[33]

GAC Wuyang-HondaEdit

Wuyang-Honda markets Honda Motorcycles for the Chinese market.[34]

GAC MitsubishiEdit

GAC Mitsubishi Motors is a joint venture between GAC and the Japanese automaker Mitsubishi Motors. It became operational in September 2012 following a late 2010 memorandum of understanding.[35]

GAC ToyotaEdit

GAC Toyota Motor Co., Ltd. is a 50:50 joint venture between GAC and Toyota Motor Company which manufactures Toyota vehicles for the Chinese market. It was founded in 2004 and is headquartered in Guangzhou.[36]

GAC HinoEdit

GAC Hino is a joint venture between Hino and GAC aimed at producing Hino-based trucks.

GAC BYDEdit

GAC BYD is a joint venture between GAC (49%) and BYD (51%) to produce BYD-designed busses under GAC's brand name.[37][38]

Former joint venturesEdit

Guangzhou IsuzuEdit

Guangzhou Isuzu Bus Co., Ltd. was a coach manufacturing joint venture between GAC (51%), Isuzu Motors (33.67%) and Isuzu (China) Investment Co., Ltd. (15.33%) that was established on 6 March 2000.[39] Isuzu light trucks and buses were also built by Guangzhou Yangcheng Automobile (羊城汽车), a joint venture with Hong Kong China Lounge Logistics. Their light trucks are based on the Isuzu Elf and are marketed under the "YCACO" brand. Yangcheng's various bus building operations were merged with Guangzhou Isuzu Bus and Denway into the Guangzhou Bus Co., Ltd. in September 2008.[40] At the same time, Guangzhou Yangcheng's truck making arm was merged into Guangzhou Hino.[40]

Guangzhou PeugeotEdit

One of the first Sino-western joint venture auto-making companies,[41] Guangzhou Peugeot Automobile Co. Ltd. was a joint venture set up by PSA Peugeot Citroën and the Guangzhou Municipal government between 1985[42] and 1997.[41] Over its eleven-year lifespan,[43] the company produced about 100,000 cars.[43]

Sales began in 1989 mainly as automobiles for government officials and taxis.[44] Its model line comprised the Peugeot 505 and 504.[45]

International operationsEdit

GAC Group has been repeatedly vocal about plans to introduce models to the United States.[46]

Trumpchi made its first appearance at the North American International Auto Show in Detroit in January 2013, where the Trumpchi E-Jet concept made its world debut.[47] In 2017, the company returned and showed three SUVs and two sedans. In January 2018, Trumpchi brought five new models and a concept SUV, the Enverge.[47][48] GAC established research and development teams in Silicon Valley and Los Angeles in 2017 and 2018, respectively.[49]

On May 15, 2015, GAC Group launched a ceremony to celebrate the opening of its Lebanese office under Bazerji Motors SAL.[50][51] On May 29, 2015, GAC Group partnered with Doha Marketing and Services Company (DOMASCO), to market and sell their vehicles to the local customers in the Middle East.[52]

During the 2019 Detroit Auto Show they announced delays to their sales plans to the first half of 2020.[53]

On May 22, 2019, an indefinite postponement of their US market plans was announced due to the China–U.S. trade war.[54]

On November 20, 2020, GAC Group established a branch in Chile.[55]

GAC Group International Markets
Year of Introduction Territory Brands Local Partner References
2013 Kuwait GAC Motor [56]
May 15, 2014 Lebanon GAC Motor Bazerji Motors Sal [50][51]
November 2014 Nigeria GAC Motor [57]
October 2018 United Arab Emirates GAC Motor Gargash Group [56]
November 2018 Philippines GAC Motor Legado Motors Inc. (LMI) [58][59]
November 2018 Saudi Arabia GAC Motor Al Jomaih Automotive [60]
August 8, 2019 Cambodia, Laos, Panama GAC Motor TH Group (Cambodia), VK Group, Laos Group Auto Commercial (Panama) [61]
May 2019 Ecuador GAC Motor Impofactor CA [62]
December 2019 Russia GAC Motor [63][64]

SponsorshipsEdit

GAC was the sponsor of the 2011 World Table Tennis Championships held in Rotterdam and the title sponsor of the 2012 ITTF World Tour.[65]

GAC was the title sponsor of the 2013 World Team Cup Table Tennis tournament held in its home city of Guangzhou.[65]

ReferencesEdit

  1. ^ a b Milestones Archived 2011-04-26 at the Wayback Machine Guangzhou Automobile Industry Group Official Site
  2. ^ "Autoline Daily". Retrieved 3 March 2022.
  3. ^ a b "Annual Report 2012" (PDF). Guangzhou Automobile Group Co., Ltd. 2012. Retrieved 18 February 2014.
  4. ^ "China Sets Massive Record: 500,000 Plug-In Cars Sold in December 2021".
  5. ^ "GAC Aion builds second plant with 200,000 production capacity". 5 January 2022.
  6. ^ "China Sets Massive Record: 500,000 Plug-In Cars Sold in December 2021".
  7. ^ "Chinese NEV Sales Round-up March 2022". 6 April 2022.
  8. ^ Company Profile[dead link] Guangzhou Automobile Group Official Site (Text-only Google cache)
  9. ^ Guangzhou Automobile Group Co., Ltd. businessweek.com, Company Snapshot
  10. ^ Home > About us > Company Profile Archived 2012-04-15 at the Wayback Machine Guangzhou Automobile Group Co Ltd Official Site
  11. ^ a b "HK float for Guangzhou Auto". 1HangZhou. 23 January 2010. Retrieved 13 January 2013.
  12. ^ a b c d Joanne Chiu and Norihiko Shirouzu (16 July 2010). "Denway Motors's Shareholders Approve Share Swap". The Wall Street Journal.
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  14. ^ "Denway Motors gets nod for privatisation". Reuters.com. 16 July 2010. Retrieved 25 October 2010.
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  25. ^ "LieBao Vehicle official website".
  26. ^ "广汽菲亚特" [Guangzhou Automobile Fiat]. Gacfiatauto.com. 3 April 2012. Archived from the original on 21 April 2012. Retrieved 13 April 2012.
  27. ^ Rowley, Ian (7 July 2009). "Fiat Focuses on China". businessweek.com.
  28. ^ Company Profile Archived 2012-03-22 at the Wayback Machine GAC Fiat Official Site
  29. ^ Han, Tianyang (30 November 2009). "GAC-Fiat ceremony heralds joint venture". China Daily. Retrieved 12 August 2016.
  30. ^ "Fiat opens new Chinese plant to produce Viaggio". MSNBC. 28 June 2012. Retrieved 10 July 2012.[dead link]
  31. ^ "2013 Fiat Viaggio". Car and Driver. April 2012. Retrieved 10 July 2012.
  32. ^ Leung, Alison (22 November 2009). "China's Guangqi Honda at 95 pct of 2009 sales target". reuters.com. Retrieved 13 January 2013.
  33. ^ Kim, Chang-Ran (17 December 2010). "Honda targets China sales of 730,000 units in 2011". reuters.com. Retrieved 13 January 2013.
  34. ^ "五羊-本田摩托(广州)有限公司". www.wuyang-honda.com. Retrieved 30 August 2021.
  35. ^ For start of operations, see "Production and Sales of Pajero Sport Midsize SUV Begins in China". Press Release. Mitsubishi Motors. 30 September 2013. Retrieved 10 October 2013.
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  44. ^ Fernandez and Liu, p. 79
  45. ^ Changing lanes in China: foreign direct investment, local government, and auto sector development (page 138) Eric Thun. Cambridge University Press, 2006. 326 pages.
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  47. ^ a b "2013 Detroit Auto Show: Chinese Auto Giant GAC Is Showing Its Own Cars, Albeit On The Fringes". International Business Times. 17 January 2013. Retrieved 18 January 2013.
  48. ^ "China's GAC Group brings E-jet Concept, and bad translation, to Cobo". Auto Blog. 16 January 2013. Retrieved 18 January 2013.
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  57. ^ "GAC Motor Delivers 150 GA3Ss to PoliceForce of Nigeria". GAC Group. Retrieved 3 June 2019.
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External linksEdit