Thursday, June 13, 2013

Is the Chinese Government Helping Cadillac?

General Motors (NYSE: GM  ) is the largest-selling automaker in China, but its Cadillac brand has just a tiny share of the fast-growing Chinese market for luxury cars. GM is spending big to change that, but the German luxury brands already have much of the market locked up.

Now, though, a trade war between Europe and China could lead the Chinese government to slap big taxes on German luxury cars – a move that could help boost Cadillac's expansion plans. In this video, Fool.com contributor John Rosevear looks at what the Chinese government is threatening to do, and why – and at how GM might benefit.

GM may dominate the Chinese auto market now, but is it the best bet for growth in coming years? A recent Motley Fool report, "2 Automakers to Buy for a Surging Chinese Market", names the two global giants poised to reap big gains that could drive big rewards for investors. You can read this report right now for free – just click here for instant access.

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