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GM picks China for electronics
Purchasing unit moves from U.S. to Shanghai

R obert Sherefkin
Jamie LaReau
Automotive News / February 27, 2006 - 6:00 am

--General Motors has shifted its worldwide electronics purchasing unit from Warren, Mich., to Shanghai to place it at the hub of China's electronics industry.

According to sources familiar with GM's plans, the move is intended to keep GM abreast of trends in automotive electronics and buy more electronic components in China.

"Just about all electronic subcomponents now originate in China or Korea or Singapore," says a source close to GM who asked to not be named. "You are more aware and you buy better when you are where the action is."

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GM picks China as global center for electronics purchasing
 Move will keep US automaker in step with trends

 Robert Sherefkin
 Jamie LaReau
Automotive News / March 6, 2006 - 6:00 am

 

 

DETROIT – General Motors has shifted its worldwide electronics purchasing unit to Shanghai from the US to place it at the hub of China’s electronics industry.

According to sources familiar with GM’s plans, the move is intended to keep GM abreast of trends in automotive electronics and to buy more electronic components in China.

“Just about all electronic subcomponents now originate in China or Korea or Singapore,” says a source close to GM who asked to not be named. “You are more aware and you buy better when you are where the action is.”

China is new hub
China is widely viewed as the world’s new hub for consumer electronics. It also is GM’s largest growth market.  A Shanghai headquarters also will help GM to export more components to plants in Europe and North America. By 2009, the company expects to buy $4 billion worth of Chinese parts annually for GM assembly plants outside China, up from $200 million in 2003.

 


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