Recently, there was news that the former SAIC General North Sheng Plant (Phase III) in Shenyang has been taken over by Geely Automobile, and is currently undergoing upgrades and modifications. It will be used to supplement the production capacity of

Currently, Geely StarRover has the opportunity to catch up with BYD and has already achieved its annual sales target of one million vehicles ahead of schedule in October this year. The new energy brand is now facing the sweet trouble of capacity chas

The author also confirmed this news from the recruitment information of Geely Automobile Shenyang Factory. According to the news, the base covers an area of 2.22 square kilometers, and the planned production models are all in the forefront of sales v

In addition, to boost the production capacity of Geely Galaxy, Geely also plans to transform its Lotus sports car factory in Wuhan. The project was signed in September this year and is expected to be implemented in the first half of 2026.

According to Automotive Village, Geely Auto currently has 16 major bases across the country, with a relatively high concentration in Zhejiang. In addition, bases are also located in Hunan, Guiyang, Sichuan, Xi'an, Hebei, Shanxi, Shandong, and other p

If Geely's current plans to expand production capacity through 'rental + transformation' and its overseas factory layout are taken into account, its total annual production capacity planning will exceed 5 million vehicles, clearly targeting the goal

According to Geely's internal statement that 'next year will be a big year for products,' combined with its production capacity planning and layout, when do you think Geely will truly become the top car company in China?

01

Is Geely borrowing production capacity due to its hot new vehicles?

Actually, before the formal announcement of Geely taking over the GM North Sheng plant, there were clues to this matter. In February 2025, SAIC GM North Sheng plant will be fully shut down. After that, it was announced that the industrial land of the

Shenyang, one of the old industrial bases in Northeast China, was also an important automobile town in the past. Automobile companies and bases such as Brilliance, BMW, Jinbei, and General Motors have supported the local industrial foundation and for

In May of this year, Shenyang Jichi Automobile was established. Although all the capital behind it comes from Shenyang state-owned enterprises, its name contains the word Ji, which is also its intention. At that time, the news was that the company wo

Subsequently, a recruitment website showed that Geely Automobile Shenyang Base was actively recruiting positions such as welding engineers and new energy production line technicians, with a requirement that those who are familiar with the transformat

In September this year, Geely's Shenyang project was officially confirmed, followed by the recruitment of production line employees. Since October, the factory has undergone comprehensive transformation and upgrading. This joint venture base, which o

The core reason why Geely is so eager to "borrow" production capacity everywhere is that its latest series of new cars, from Geely Galaxy to Lynk & Co and then to Zeekr, have far exceeded expectations.

Although we are currently producing about 700 units per day, our production capacity is severely insufficient. Currently, only about 10,000 units of the Galaxy M9 are being produced, but we still have around 20,000 orders pending, and we're receiving

There are also large flagship SUVs like the Lynk & Co 900 and the Zeekr 9X, but the production capacity of each model cannot meet the market demand for bookings. According to insiders from Lynk & Co and Zeekr, the production capacity of the Lynk & Co

According to Geely's data released in October, Geely Galaxy achieved its annual sales target of 1 million vehicles two months ahead of schedule. Among its 11 models on sale, 7 models entered the 10,000-unit club, even amid tight production capacity c

There is a serious shortage of cars and insufficient production capacity... I have learned from insiders of several Geely models projects that it is not only these few large models that have insufficient production capacity, but also models like Geel

However, the question is, does Geely really lack production capacity? According to the preliminary statistics and verification of The Auto World, Geely currently has 16 major bases with a planned annual production capacity exceeding 4.5 million vehic

So Geely's core purposes in acquiring the Beisheng plant from SAIC in Shenyang and taking over the Lotus plant in Wuhan are to expand production capacity as well as adjust production capacity, market, and industrial layout.

Judging from the production capacity layout map of Geely's base, the base camp is in Zhejiang, and there are currently 8 major bases, mainly radiating to the East and South China markets. Judging from the radiation situation of bases across the count

However, with the increasing demand for new energy and the gradual growth of penetration rate, Geely's renewable energy layout has revealed some imbalances. Specifically, the western, northern, and central regions have shown conflicts between sales e

From the perspective of the market, the potential for renewable energy penetration in the Northeast market poses a significant attraction. According to the China Automobile Dealers Association, the renewable energy penetration rate in the Northeast r

So when recalling Geely Holding Group's (including Geely Automobile, Volvo, and Long-distance Commercial Vehicle) announcement of its 2027 whole vehicle sales volume of 5 million, it seems that their public prediction is somewhat conservatively on th

02

Productivity is a double-edged sword

The rise and fall of SAIC Beicheng factory can be regarded as a microcosm of the changes in the joint venture model of China's automotive industry. The golden decade of the joint venture era has officially ended, and a new chapter of independent grea

This joint venture base, which settled in Shenyang in 2004, had a peak annual production capacity of 500,000 complete vehicles and 450,000 engines. The models produced, such as the Buick GL8 and Chevrolet Trailblazer, once dominated the Northeast mar

When General Motors transferred its Northeast base to Geely, it essentially recognized the leading position of Chinese brands in the fields of new energy and intelligence.

Data from the China Automobile Association shows that the market share of joint-venture brands has dropped from 60% in 2020 to 31.3% in 2025, while the proportion of independent brands has rushed towards 70%. At the same time, the new energy market s

In fact, in June of this year, Geely Chairman Li Shufu stated at the 2025 China Automotive Chongqing Forum that there is currently a serious overcapacity in the automotive industry worldwide. Therefore, Geely has decided not to build new car producti

Therefore, production capacity upgrades are achieved through acquisitions (such as Shenyang Beisheng and Wuhan Lotus Sports Car) and the transformation of existing bases (such as Hangzhou Bay and Chengdu factories). This model not only avoids the app

It is worth mentioning that these bases, governments and investors who are in deep trouble are eager to welcome new partners to solve the problems of tax, employment and development. Geely's entry at a 'low price' now also demonstrates its keen busin

Take the Beisheng factory in Shenyang as an example, Geely has not yet established any significant business organizations related to passenger car manufacturing in the area except for its parts system, Ditone Industrial Holding Group, which has lande

After all, expanding production capacity is not a one-time transaction, nor will it necessarily lead to continued strong sales in the next one or two years simply because Geely's new cars are selling well now. The market changes rapidly and competito

Therefore, the key to capacity expansion lies in precision and flexibility, which not only needs to match the market growth rhythm but also possess the elasticity for quick adjustments. Success or failure depends on the company's judgment of market c

This article is from the WeChat public account Automotive Community (ID: iAUTO2010).