The Hindu Business Line : GM India to unveil plan for small car this year

GENERAL Motors India will come out with an announcement on its small car this year. Stating this, Mr Aditya Vij, President and Managing Director GM India, told newspersons on Wednesday that, "It would happen in a few months. India is a small car market."

The company seemed to pin its hopes on the Daewoo sale to build its small car profile. "The Daewoo auction is in its final stages," he said.

Mr Vij was in the city in connection with the opening of its second dealership in Hyderabad and third in Andhra Pradesh. He said the Indian car market would grow at 10.5 per cent to 11 per cent.

This year, 1.35 million cars were sold. The growth rate was 20 per cent last year. "But it would slowdown somewhat to a moderate rate of 10.5 per cent to 11 per cent," he added. With the Government addressing the main bottleneck of infrastructure, the market would get an impetus.

The company planned to increase the sales points from 69 to 90 and service outlets from 82 to 100 across the country. Of this, Andhra Pradesh would have six to seven.

The company, which sold 26,200 cars last year, targeted to sell 40,000 this year, with more than half expected to be Tavera. Within 10 months of its launch, Chevrolet Tavera registered sales of 13,450 units.

In the first quarter (January-March), the company sold 8,397 against 5,391 cars in the corresponding period last year, registering a growth of 56 per cent.

In March alone, it recorded 3,516 the highest for a month since its inception. The company had so far invested Rs 1,280 crore in India, and plans to invest Rs 150 crore more on ramping up its capacity from 60,000 to 80,000 at its Halol facility in Gujarat.

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page