GM to introduce hybrid model to defend lead in China

General Motor Corp plans to introduce a hybrid car in China in middle of this year in an effort to defend its leading place in the nation against rivals like Volkswagen and Toyota Motor.

Buick Lacrosse sedan powered with a gasoline-electric engine system will be offered in China by August as it targets to attract wealthier customers and boost sales, said GM whose sales growth moderated to 7.4% in the nation in the first quarter.

Market demand for fuel-efficient vehicles has been triggered by the record high crude oil price which has risen 85% over the past 12 months. However, hybrid cars still see a sluggish sales worldwide as their prices are relatively high.

Car makers that get China market will be the future leader of the industry, said Rick Wagoner, CEO of GM, at the Beijing Auto Show.