SAIC Motor
SAIC Motor Corp., Ltd. is a Chinese state-owned automobile manufacturer headquartered in Anting, Shanghai. Founded in 1955, it is currently the largest of the "Big Four" state-owned car manufacturers of China ahead of FAW Group, Dongfeng Motor Corporation, and Changan Automobile, with sales of 5.02 million vehicles in 2023.
The company traces its origins to the early years of the Chinese automobile industry in the 1940s, and SAIC was one of the few carmakers in Maoist China, making the Shanghai SH760. Currently, it participates in the oldest surviving sino-foreign automotive joint venture with Volkswagen since 1984, and in addition operates a joint venture with General Motors since 1998. It also produces and sells passenger vehicles under its own branding, such as IM Motors, Roewe, MG, Rising Auto and Maxus/LDV. It is also the largest shareholder of SAIC-GM-Wuling, a joint venture selling Wuling and Baojun branded vehicles. In 2021, SAIC self-owned brands contributes 52% of SAIC's sales.
The company ranked 84th on the Fortune Global 500 list in 2023. Including SGMW, it was also the third-largest plug-in electric vehicle company and second-largest battery electric vehicle manufacturer in the world, with 10.5% and 13% global market share respectively in 2021.
History
Origins to 2000
Although it has a long history, originating from an automobile assembly factory established in Shanghai sometime around World War II, SAIC, unlike domestic rivals FAW Group and Dongfeng Motors, has only recently attained a position of prominence in the Chinese vehicle industry. A small company in the 1970s, SAIC owes its rise to more than an increase in domestic demand for passenger vehicles. A cooperative agreement made with Volkswagen in 1984 followed by the formal establishment of Shanghai Volkswagen Automotive Co. Ltd. in March 1985 allowed it to produce competitive cars with foreign technology. Early success at SAIC were a result of guidance provided by local Shanghai authorities; at one time SAIC was simply an extension of the Shanghai Municipal government. For these two reasons and more, SAIC grew swiftly. In the 11 years leading to 1996, annual production capacity increased ten-fold to 300,000 units/year, and the company established itself as one of the leading Chinese automakers.During this period, SAIC effectively built an entire modern automotive component supply chain in Shanghai from scratch, and the number and quality of locally produced auto parts rose significantly. Cars that were previously assembled in China from knock-down kits provisioned by Volkswagen became products built from parts produced in Shanghai, and between 1990 and 1996 the city more than doubled its contribution to the national output of automotive components. In 1987, the only local parts used in one car, the Volkswagen Santana, were tires, radio, and antenna, but by 1998 over 90% of the components used in its manufacture were locally sourced. A goal set by the Shanghai Municipal government, creation of a local parts industry is an example of the influence that the local government has had on the development of SAIC.
In June 1997, SAIC formed a second major joint venture, Shanghai General Motors Co Ltd, with General Motors. The new joint venture began operations in 1998, and helped to drive a doubling in SAIC's vehicle production between 2000 and 2004. SAIC also created joint ventures with component suppliers, such as the American Visteon.
2000 to 2010
At the start of the 2000s, SAIC made several acquisitions in Korea. In 2002 it participated in GM's purchase of Korean automaker Daewoo, acquiring a 10% stake in the newly formed GM Daewoo company for US$59.7 million, and in 2004 it also assumed control of an ailing South Korean automaker, SsangYong Motor, paying US$500 million for 48.9% ownership of the company. Around this time SAIC created a new holding company for its subsidiaries employed in passenger car production, Shanghai Automotive Group.In the middle of the decade, SAIC attempted to acquire the British automaker MG Rover, but in 2005 was outbid by another Chinese automaker, Nanjing Automobile. SAIC did manage to obtain some MG Rover technology that was incorporated into a new line of luxury sedans sold under the Roewe marque, and it subsequently purchased the winning bidder.
While the company saw sales success in the late 2000s, with 2.72 million vehicles sold in 2009, its 2004 purchase of an ownership stake in a Korean SUV-maker, Ssangyong, soured. In January 2009, after an additional US$45 million was provided to it by SAIC, SsangYong Motor Company was placed into receivership in Korea. Courts might have mandated SAIC reduce its ownership, and by 2010 a 51.33% share of the Korean company had become a 10% one. The 2009 Ssangyong failure also saw riot police quell protesting Ssangyong workers who staged a 77-day-long sit in.
2010 to present
In 2010, SAIC produced 3.58 million units, the largest output of any China-based automaker that year.In June 2010, Magneti Marelli and Shanghai Automobile Gear Works officially launched a new joint venture plant in the Jiading district near Shanghai, China. SAGW, the main Chinese manufacturer of transmissions for the automotive sector, is a subsidiary of SAIC Motor.
In February 2011, SAIC unveiled a new commercial vehicles marque, Maxus.
In 2011, SAIC produced 3.97 million vehicles, the largest output of any China-based automaker that year.
In 2012, SAIC retained its top spot among domestic rivals by producing around 3.5 million units.
In 2023, SAIC received the equivalent of US$560 million in state subsidies. In July 2023, Audi and SAIC Group announced their partnership that the EV platform from IM Motors will be introduced into Audi's electric models.
In September 2023, the European Commission launched an anti-subsidy investigation into Chinese electric vehicle manufacturers, including SAIC which exported electric vehicles in high volume under the MG brand to the region. In June 2024, the EC completed its investigation and announced new tariffs for Chinese-built electric vehicles, which went into effect on 4 July 2024. Electric vehicles made by SAIC Motor would be subjected to the highest tariff of 38.1 percent. On 26 June, after receiving more information, the EU reduced the proposed tariffs from 38.1 percent to 37.6 percent for SAIC. The tariffs subjected to SAIC vehicles are the highest among Chinese electric vehicle manufacturers that are affected. SAIC released a statement condemning the decision, noting that the tariffs are a form of unfair market discrimination that went against the principles of free trade.
In July 2024, SAIC Motor issued a statement stating that it would formally request the European Commission to hold a hearing on the anti-subsidy investigation. The company claimed that the European Commission's investigation asked SAIC to disclose its commercially sensitive information including battery-related chemical formulas, which SAIC declined as it is beyond the scope of a normal investigation.
In November 2024, SAIC Motor Passenger Vehicle, a subsidiary of SAIC, announced the reintegration of the Rising Auto brand into Roewe, ending its status as an independent brand. Rising Auto will be restructured as a premium electric vehicle product line under the Roewe brand.
In April 2025, SAIC Motor and Huawei jointly unveiled the fifth brand under HIMA, SAIC, during the HIMA new product launch event.
Mergers and company name-changes
The present-day SAIC is the product of numerous mergers and corporate restructurings.- In December 1955, Shanghai Internal Combustion Engine Components Company was founded.
- In March 1958, Shanghai Internal Combustion Engine Components Company and Shanghai Powertrain Equipment Manufacturing Company were merged into Shanghai Powertrain Machinery Manufacturing Company.
- In January 1960, Shanghai Powertrain Machinery Manufacturing Company was renamed Shanghai Agricultural Machinery Manufacturing Company.
- In April 1969, Shanghai Agricultural Machinery Manufacturing Company was renamed Shanghai Tractor Industry Company. Shanghai Automobile & Tractor Company was established in July 1984.
- In March 1990, Shanghai Automobile & Tractor Company was renamed Shanghai Automotive Industry Corporation.
- In September 1995, Shanghai Automotive Industry Corp was founded.
Corporate Leadership
Presidents
- Chen Hong
- Chen Zhixin
- Wang Xiaoqiu
- Jia Jianxu
Chairmen
- Hu Maoyuan
- Chen Hong
- Wang Xiaoqiu
Brands
IM
IM is a luxury electric vehicle brand launched by SAIC on 13 January 2021. Known as "Zhiji Motor" in Chinese, the brand was jointly developed in partnership with Shanghai's Pudong New Area government and Alibaba. According to SAIC Motor, "IM" stands for "Intelligence in Motion."MG
MG Motor designs, develops and markets cars sold under the MG marque.Roewe
Roewe was introduced by SAIC in 2006. It is sold in most export markets outside China under the MG Motor marque.Rising Auto was initially introduced as the "R Brand" in 2020, a sub-brand of SAIC's Roewe division focused on electric vehicles. It operated as an independent brand beginning in 2021 but was reintegrated into Roewe in 2024. It currently serves as the premium product line under the Roewe brand.