General Motors cuts China sales outlook for the year
17 September 2008
General Motors (GM) cut its China sales growth predictions for the year, citing slackening demand due to weak Chinese financial markets and higher fuel prices, the Wall Street Journal reported. The firm's Asia-Pacific president Nick Reilly said the company has reduced its sales forecast for China to 11-12%, down from the 12-15% growth predicted in March. However, Reilly emphasized that the medium- to long-term China auto market looked strong. China is GM's second-largest market after the US. Earlier this month, a Lehman Brothers research report said passenger car sales in China fell 10% year-on-year in August. In addition, the chief China forecaster for JD Power has said there is a chance that China will see little or no growth in auto sales this year.