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Great Wall, Ergo join hands in insurance JV

Chinese carmaker Great Wall Motors has struck a deal with Ergo, the retail insurance arm of Munich Re, to create a joint venture providing insurance to car owners in China, the companies announced. The joint venture will be put into operation early next year, the companies said, adding that Ergo would own 49 percent and Great Wall Motors 51 percent. The German insurer intends to carve out a stake in the highly-regulated market largely controlled by Chinese vendors, said Ergo's head of mobility solutions Karsten Crede. Great Wall Motors is one of the best-selling Chinese carmakers, with sales in 2018 exceeding 1 million vehicles.

GAC Honda forms road safety alliance

GAC Honda initiated a road safety alliance for students on Tuesday with the China Automotive Technology & Research Center as well as institutes of higher education including Tianjin University, Tongji University and Jilin University. Through the alliance they will hold regular events including lectures and driving skills training to improve the students' awareness of road safety. GAC Honda will finance the alliance members' efforts in promoting road safety. The joint venture first held road safety-related events from 2007 and has been working to improve safety systems for vehicles. Statistics from the World Health Organization show that road accidents kill around 1.3 million people a year globally, with the young especially vulnerable victims.

Audi, Salzburg Festival launch 2020 program

Audi China and the Salzburg Festival introduced its 2020 program to Chinese audiences on Wednesday. Audi has been promoting and supporting cultural activities around the world for more than 55 years, and it has been a main sponsor of the Salzburg Festival since 1995. Audi China President Gaby-Luise Wuest said cultivating and promoting arts has long been a key pillar of Audi's corporate social responsibility strategy because it underscores the brand's dedication to creating a better life for people. As part of the cooperation, Audi provides shuttle services for the festival's guests, who during their trip can experience the history of the famed festival via virtual reality technology.

GM reports better-than-expected Q3 sales

General Motors reported better-than-expected quarterly earnings Tuesday on strong auto sales, but trimmed its full-year forecast after a lengthy strike that ended last week. The automaker saw net income in the third quarter drop 7.1 percent to $2.4 billion, easily topping Wall Street estimates, as revenues dipped 0.9 percent to $35.5 billion. Shares surged following the report. But the company said the strike, which effectively shut down GM's US operations for 40 days and halted its production of new cars, is expected to cut about $3 billion from 2019 earnings.

CATL profits soar in new energy sector

Contemporary Amperex Technology, China's largest automotive lithium-ion battery maker, posted a 45.7 percent net profit growth in the first three quarters of the year amid a booming new energy vehicle market. Net profit in the nine months rose to 3.46 billion yuan ($489 million), CATL said in its quarterly financial statement filed to the Shenzhen Stock Exchange last month. During the period, the battery giant generated a revenue of 32.86 billion yuan, an annual increase of 71.7 percent. In the third quarter, its net profit declined 7.2 percent to 1.36 billion yuan and revenue rose 28.8 percent to 12.59 billion yuan. Despite sluggish sales for gasoline-powered vehicles, the NEV market has experienced a boom in China and thus resulted in a strong demand for lithium-ion batteries.

Motoring - Agencies

(China Daily 11/04/2019 page19)