SPY339.39-6.39 -1.85%
DIA277.00-6.34 -2.24%
IXIC11,358.94-189.35 -1.64%

GM Spurts First China Quarterly Sales Growth In Two Years, With Mini Van Leading EV Sales

General Motors Company (NYSE: GM) quarterly sales in China grew for the first time after two years, Reuters reported Tuesday.

· 10/12/2020 04:50

General Motors Company (NYSE:GM) quarterly sales in China grew for the first time after two years, Reuters reported Tuesday.

What Happened: The Detroit-based automaker’s Chinese sales rose 12% in the quarter ended September compared with a similar period a year earlier.

GM reportedly delivered 771,400 vehicles in the third quarter. In the second quarter, deliveries had shrunk by 5%. 

The automaker’s Wuling Hong Guang MINI EV, a two-door vehicle, which sells for $4,200 was China’s best-selling EV in August, as per Reuters. 

Why It Matters: GM is the second-largest foreign automaker in China in terms of units, ranking behind Volkswagen AG (OTC:VWAGY).

The Mary Barra-led company is looking to electric vehicles to account for over 40% of its new vehicle launches in China in the coming five years as China pushes a move towards greener vehicles, noted Reuters.

Chinese domestic and foreign EV manufacturers have reported strong numbers. Xpeng Inc (NASDAQ:XPEV) sales grew 266% in Q3 to 8,578 EV units.

Nio Inc (NYSE:NIO) delivered 12,206 units, which is 18.5% more vehicles quarter-over-quarter, while Li Auto Inc (NASDAQ:LI) deliveries shot up 31.13% to 8,660 in the third quarter.

EV frontrunner, Tesla Inc (NASDAQ:TSLA) sold 139,300 globally, which is a 53.67% growth in deliveries quarter-on-quarter in the same period but the company does not provide a geographic breakdown. 

Price Action: GM shares closed almost 0.2% lower at $32.16 on Friday.

Photo courtesy: Richard via Flickr