# Efficient Automaker Supply Chains SAIC-GM-Wuling is Testing Blockchain Technology to Reduce Costs By Colin Smith | Published 2022-09-23 | Autos Source: Trend Hunter, https://www.trendhunter.com/trends/saic-gm-wuling References: [bloomberg](https://www.bloomberg.com/news/articles/2022-02-28/blockchain-is-helping-china-s-automakers-boost-green-credentials) & [sgmw.cn](https://www.sgmw.com.cn/en/SGMWOverview.aspx)  ' SAIC-GM-Wuling,' the Liuzhou-based automaker, announced that it is testing blockchain ledger technology in order to reduce operation costs. The company was selected for the pilot test by [China's](https://www.trendhunter.com/trends/flying-car-prototype) central government, which chose the automaker based on its top-selling '[HongGuang Mini EV](https://www.trendhunter.com/trends/chinese-automaker).' One of the largest changes that SAIC-GM-Wuling will make by leveraging the blockchain is the removal of paper documents, and subsequently, a large portion of human errors. The company will transfer its supply chain information, and other important document information, to a digital format to be stored on the blockchain. According to early estimates, this will reduce SAIC-GM-Wuling's paper usage by over 10 million sheets of paper per year, resulting in an approximate $2.5 million USD reduction in operation costs. In addition to reducing paper, though, the company believes a large amount of money will be saved by removing physical human error. The blockchain ledger is reliable and traceable, subverting issues such as illegible text on a paper, indistinguishable signatures, miscommunications in parts supply, and more. Following the SAIC-GM-Wuling pilot test, it is expected that more automakers in China will adopt blockchain ledger technology. Image Credit: Qilai Shen, Bloomberg ## Trend Insights (Trend Hunter) - Score: 4.7/10 - Popularity: 49% | Activity: 79% | Freshness: 13% - Audience gender: 50% men, 50% women - Primary generations: Gen Z, Millennial, Gen X - Top markets: Asia ## Categories [Trend Hunter](https://www.trendhunter.com/trends) > [Autos](https://www.trendhunter.com/autos) ## Key Themes ### Why This Trend Is Growing - **Blockchain Adoption in Supply Chains:** SAIC-GM-Wuling's adoption of blockchain to revolutionize their supply chain management sets a precedent and presents innovative opportunities for other automakers to improve efficiency and reduce operation costs. - **Digitization of Paper-based Processes:** SAIC-GM-Wuling's move to transfer supply chain information and other important document information to digital format to eliminate paper-based processes offers opportunities for financial, legal, and government industries to streamline their record-keeping. - **Reliable and Traceable Supply Chain Management:** SAIC-GM-Wuling's implementation of a traceable and reliable supply chain management system using blockchain technology presents possible innovation opportunities for logistics and transportation industries to increase transparency and accountability. ### Industries Being Reshaped - **Automotive:** SAIC-GM-Wuling's use of blockchain in supply chain management could be adopted by other automakers to improve productivity and reduce costs. - **Financial Services:** SAIC-GM-Wuling's digitization of important document information through blockchain technology can provide a secure and cost-effective record-keeping solution for financial services firms. - **Logistics and Transportation:** SAIC-GM-Wuling's use of blockchain technology for supply chain management creates opportunities for logistics and transportation companies to implement a reliable and traceable system to improve efficiency and mitigate risks. ## Related on Trend Hunter - [Blockchain-Based Supply Solutions](https://www.trendhunter.com/trends/hyundai-1.md) - [Electric Car Chassis Platforms](https://www.trendhunter.com/trends/chassis-platform.md) - [Web3 Automotive Security Platforms](https://www.trendhunter.com/trends/carrchain.md) - [Safety-Focused Automotive Technologies](https://www.trendhunter.com/trends/auto-shanghai-2025.md) - [Industry-Leading Auto Innovations](https://www.trendhunter.com/trends/nextgeneration-auto-technologies.md) - [Innovative EV Auto Brands](https://www.trendhunter.com/trends/ev-auto-brand.md) - [Auto Manufacturer Industrial Frameworks](https://www.trendhunter.com/trends/industrial-framework.md) - [AI Built-In Cars](https://www.trendhunter.com/trends/baidu-1.md) - [Data-Recording Car NFTs](https://www.trendhunter.com/trends/alfa-romeo-1.md)