If people really believe that what's good for GM is good for America, fasten your seatbelts for a lot more concessions to China:
In this obscure corner of southern China, General Motors seems to have hit on a hot new formula: $5,000 minivans that get 43 miles to the gallon in city driving. That combination of advantages has captivated Chinese buyers, propelling G.M. into the leading spot in this nascent car market. . .
The minivans, which G.M. builds in a joint venture with a Chinese partner, have a quarter the horsepower of American minivans, weak acceleration and a top speed of 81 miles an hour. The seats are only a third the thickness of seats in Western models but look plush compared with some Chinese cars. . .
The minivans have been a big hit, helping G.M. sell more than 170,000 very small vehicles - automobile types not available in the United States - and to pass Volkswagen this year in sales in a market that VW has dominated for two decades. . .
The article mentions that the vans are popular among small business owners who use them to transport supplies and their families. Supplies, yes, but what families? You can transport the typical Chinese family in a motorcycle sidecar.
Bonus coverage:
The GM of the Internet, Yahoo, is also penetrating the Middle Kingdom. "Yahoo, one of the world's biggest Internet companies, is in negotiations to acquire a stake in Alibaba.com, China's largest e-commerce company, several people involved in China's financial industry, said Monday." NYT Link.
