Kelvin Wale, president & MD of General Motors China, said the company expects to sell more than two million vehicles in China in 2010.

Mr. Wale has high hopes that company’s Chinese sales would grew faster than the overall Chinese market. Analysts have projected a year-on-year increase of 10 per cent to 15 per cent for the Chinese auto market.

Commenting on the issue, Yu Bing from Pingan Securities said, “China’s car market may grow 10 percent to 15 percent this year, with intensified competition among automakers as the government gradually scales back stimulus.”

During 2009, the Detroit-based automaker GM’s sales in China surged 67 per cent from the previous year to settle at 1.83 million units, driven by government’s stimulus program.

Last year, China slashed the sales tax on new vehicles to 5 per cent and offered 5 billion Yuan (equivalent to $732 million) in cash to swap old vehicles with new ones.

But, analysts said a roll back of government incentives could affect vehicles’ sales in 2010.