GM'S FIRST venture in Shenyang, China, was a failure.
Plans to build S10 pickups there in 1992 fell apart. It turned out that the Chinese market did not want two-door pickups. GM fell out with its partner, Jinbei Automotive Co., and a credit crackdown by the central government starved manufacturers and consumers alike of capital.
First Auto Works, China's second-largest auto company after Shanghai Automotive, took over Jinbei in 1994. GM then entered talks on choosing a new model to build in Shenyang.
After more than two years of talks, 'we're close' to a deal, said Rudolph Schlais, vice-president of GM and president of General Motors China. He thinks a decision might come this year.