(Yicai) July 28 -- SAIC Motor has reassigned some key executives, two years after the last major shakeup at China’s largest carmaker in what may turn out to be a group-wide reshuffle as its turnaround efforts enter a new phase.

Both SAIC-GM, its joint venture with General Motors, and SAIC Passenger Vehicle announced leadership changes today. Lu Xiao, who has led SAIC-GM for nearly two years, has been transferred to become general manager of SAIC Passenger Vehicle, while Xu Ping, previously GM of Hasco, SAIC’s auto parts unit, succeeds him as GM at SAIC-GM.

The latest reshuffle will also involve several other top positions across the group, according to a source close to Shanghai-based SAIC Motor.

Lu took over at SAIC-GM in August 2024, at a time when it was facing major challenges, including a sharp decline in sales, delays in its transition to new energy, fragmentation in its production and sales systems, and high inventory levels.

A veteran of the Pan Asia Technical Automotive Center, the design and engineering JV of SAIC and GM, and the first Chinese chief engineer within GM's global engineering system, Lu brought a strong technical background to the role and spearheaded a range of internal organisational and operational reforms.

Under his leadership, SAIC-GM's business fundamentals improved markedly. It returned to profit in the fourth quarter of 2024 and remained in the black for five straight quarters through the end of last year. Annual sales reached 535,000 vehicles in 2025, a 23 percent year-on-year increase.

But as the market share of foreign JV brands in China continues to shrink this year amid intensifying competition from domestic automakers, SAIC-GM's first-half sales fell 5.7 percent to 231,000 units from a year earlier.

Xu, Lu’s successor, has spent much of his career in research, development, and program management roles at both SAIC-GM and PATAC. He was previously vice GM of SAIC Passenger Vehicle and GM of SAIC Motor UK Holdings. Prior to his new appointment, he oversaw Hasco.

Industry observers said his key advantage lies in his ability to draw on Hasco’s supply chain to drive deeper cost savings at SAIC-GM, thereby mitigating the margin pressure resulting from China’s auto price war. Also, his overseas operational experience is expected to help in expanding vehicle exports, they said.

Editor: Tom Litting