General Motors and SAIC to jointly develop small engine and dual clutch transmission

General Motors has reached an agreement with one of its primary Chinese partners, Shanghai Automotive Industries Corp. (SAIC), on the joint development of powertrains for small vehicles.

GM and SAIC will develop and produce a family of four-cylinder engines ranging from 1.0- to 1.5-liters with direct injection and turbocharging. The GTDI engines should cut fuel consumption by around 20 percent compared to similarly-sized engines with equivalent output.

The engine will be used in GM and SAIC vehicles in China and around the world, and to go along with the new engine, the partners will also develop a small dual-clutch transmission that should provide a 10 percent boost in efficiency over current six-speed torque converter automatics. Work on the engine and transmission will occur at GM's powertrain engineering center in Pontiac, MI and the Pan Asia Technical Automotive Center in Shanghai.

GM has yet to announced when the new powertrains will debut in production, but mid-2011 is a safe bet.

[Source: General Motors]