Shanghai Automotive Industry Corp or SAIC says the company's IPO in Hong Kong may be reduced to one billion US dollars.

The Financial Times quoted the company as saying that the sharp downturn in the China's auto sector and equity market may have strong effect on the company's IPO plan during the second half of the year.

The SAIC is one of China's largest carmakers, and has joint ventures with General Motors and Volkswagen.

(CRI.com January 10, 2005)