Cadillac Expands in China
2013 XTS production marks new stage in brand's global growth
DETROIT – Cadillac announced at this week's Beijing Auto Show that it
will build the all-new XTS luxury sedan in China in conjunction with
joint venture partner Shanghai General Motors (SGM). The production
expansion for the Chinese market is a major landmark in the brand's
The new 2013 Cadillac XTS launches in North America later this spring
with production beginning in the coming weeks at the Oshawa, Ontario
Assembly Plant. XTS production will begin in China this fall. The XTS
is a new approach to the luxury sedan, blending traditional Cadillac
spaciousness with advanced technologies, some of which are industry
and segment firsts.
"China is the second-largest market for Cadillac, and of course
is one of the largest and strongest markets in the world for luxury
cars, so it is a core part of our vision as a brand," said Don
Butler, Cadillac vice president of marketing. "It is projected
that by the end of the decade half of all luxury purchases in the
world – all categories, not just cars – will occur in China."
Cadillac's expansion in China in 2012 is the result of impressive
growth for the brand. Since its small-scale debut in China in 2005,
Cadillac has steadily earned a solid position. Cadillac sold a record
30,000 vehicles in China in 2011, compared with 17,000 in 2010.
XTS is not the first Cadillac assembled in China. That distinction
belongs to the SLS Executive Sedan, an extended-length luxury car
exclusive to China that began production in 2006. However, the
expansion of XTS production to China marks the biggest step in
Cadillac's growth in the world's largest automotive market.
All of the brand's core product lines are sold in China, with the CTS
Sedan and Coupe, SRX crossover and Escalade imported from North
America. The SRX is Cadillac's top seller in China. In March Cadillac
sales set a monthly record of 2,745, an increase of 35.2% over the
same period in 2011.
The average age of a Cadillac buyer in China is 35, signifying the
explosive growth of the luxury marketplace and consumer perceptions of
"We're very encouraged by the positive response Chinese luxury
consumers have to Cadillac," said Butler. "Qualities like
innovation and entrepreneurship are admired by many luxury consumers
in China, which aligns well with Cadillac. The American spirit of
Cadillac creates a distinct and compelling position in the luxury
Cadillac's dealer network has grown to 68 locations with projected
growth to 120 dealers by the end of 2012. "Our dealers in China
are experiencing strong growth, with some of them quickly becoming
among the largest and best we have in the world," said Butler.
Cadillac has been a leading luxury auto brand since 1902. In recent
years, Cadillac has engineered a historic renaissance led by artful
engineering and advanced technology.