SAIC to invest 6 billion yuan in alternative-fuel vehicles

Shanghai Automotive Industry Corporation (SAIC) plans to invest 6 billion yuan (US$878.62 million) in developing alternative-fuel vehicles and related technology in China by 2011, reports the Xinhua News Agency. Hu Maoyuan, chairman of SAIC, revealed that about 2 billion yuan (US$292.87 million) each will be invested in the research and development (R&D) of alternative-fuel technology and thereafter in manufacturing related components and vehicles. In related news, SAIC is expected to start producing new-energy vehicles in 2010, the official Xinhua News Agency reported. SAIC will launch the Roewe 750 hybrid sedan, a car that could cut fuel costs by 20%. The Roewe 550 mid-class sedan, another plug-in hybrid model, will be unveiled and commercialized in 2012. (November 5, 2009)