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Chinese automakers consider poaching talent from US Big 3

By Li Fangfang (chinadaily.com.cn)
Updated: 2008-12-17 18:12

After considering the risk of buying US auto manufacturers' assets, Chinese automakers realized that targeting their research and development (R&D) talent would be a more realistic and profitable option.

Zeng Qinghong, general manager of Guangzhou Automobile Group, said that his company has no intention of buying assets from their US counterparts. However, they are interested in US auto professionals.

He told Shanghai Securities News that Huang Xiangdong, head of Guangzhou Auto's research center recently conducted a recruitment trip to the US. "Interest shown by US auto talents in Guangzhou Auto exceeded expectations."

Xu Heyi, board chairman of Beijing Automotive Industry (Holding) Corp revealed that they are also paying attention to management executives in from the US auto industry.

In recent years, China's auto industry experienced a rapid annual growth of over 20 percent. However, a shortage of technical experts and high level management executives became a bottleneck for the growing industry.

A capable auto R&D engineer in the US typically has eight to ten years of experience in the industry, while higher education for professional R&D experts in China is still a thing of the future.

According to Shanghai Securities News, the annual wage (after tax) of an auto engineer with ten years of R&D experience in the US is between $120,000 and $140,000, a salary Chinese auto manufacturers are not able to afford.