GM, SAIC to develop EV architecture

General Motors (GM) and SAIC Motor (SAIC) have signed an agreement to set up a joint venture to develop electric vehicle (EV) architecture in china, with the Pan Asia Technical Automotive Center (PATAC) serving as the hub for development of new vehicle technologies and architecture.

As per the agreement, teams of SAIC, GM and PATAC engineers will work together to develop key components, as well as vehicle structures and architectures.

Vehicles resulting from the partnership will be sold in China under Shanghai GM and SAIC brands, and the agreement will leverage SAIC's market knowledge and local expertise along with GM's expertise in EV development and global know-how.

It will also ensure local input in the development of EV technology and the delivery of products developed in China.

GM president of international operations Tim Lee said the co-development of this new EV architecture demonstrates the broad range of benefits made possible by the strong partnership between the two companies.

"For almost 15 years, our two companies have forged some of the industry's most successful joint ventures," Lee said.

"This unprecedented level of cooperation is another demonstration of our companies' commitment to work collaboratively."

SAIC president Chen Hong said the company's agreement will enable both the companies to take advantage of economies of scale and get new technology to the market faster than by going it alone.

"It will help bring about our goal of leading the automotive industry in new energy vehicles and our vision of sustainable transportation, which we introduced at World Expo 2010 Shanghai," Hong said.

Both the companies are partners in 10 joint ventures in China, which are engaged in vehicle and powertrain manufacturing, sales and aftersales, automotive engineering and design, automotive finance and telematics, and the sale of used vehicles.