GM plans to release another mini car in India
India is fast-becoming one of the hotspots for small cars. After Indian automaker Tata Motors released its compact car Nano, which is hailed as the least expensive vehicle in the world, other companies, like BMW and General Motors (GM), jumped in the same car market too. American automaker GM for one is set to release another small and affordable car in India by 2010.
GM believes that the Indian car market still has a lot room for more small framed vehicles as Tata’s Nano was widely accepted by motorists in India. Because of that, the U.S.-based company plans that this South Asian country will be the launch pad for its upcoming model. With a tag price lower than GM’s current small car Chevrolet Spark, the upcoming compact vehicle will also be part of the U.S.-based company’s plan of combining of all its $300 million-worth of auto parts exported outside America.
“I think there is enough space for entry of yet another car in the small car segment,” said David N. Reilly, who is the vice-president of GM in India. “We are planning to introduce a small car in the next two years, which will first be launched in India.”
If all things go well, GM will greatly benefit from the small automobile market of India, like what my Autopartwarehouse friends would reckon. In the next couple of years, GM hopes to move up several notches to 10-percent from its current three-percent status. Once the market share of the American automobile giant improves, all of its compact vehicles, along with the medium-sized models, will all be exported to this country.
“India has the full potential of becoming a lucrative export hub for small cars and we are planning to make India for our small cars,” said Reilly, who is also GM-Asia Pacific’s president.
Penetrating wholly the small car market of India, however, will definitely not going to be a walk in the park according to Reilly. He noted that GM’s upcoming compact and affordable vehicle will likely go bumper to bumper with Tata’s Nano, which was released last January at India’s Auto Expo. Moreover, the company is also planning of launching inexpensive pickup vans and more small cars in the future. Nonetheless, General Motors is keeping a positive outlook on the matter and is even looking forward to doubling or even tripling its sales, which is currently $300 million, in the next three to four years.
“Till now we have been producing cars, which are low cost and competitive, only to meet the Chinese demand. But now we are seriously looking for introducing these outside China, including India,” said Reilly.
Source: The Hindu Online Edition.
GM believes that the Indian car market still has a lot room for more small framed vehicles as Tata’s Nano was widely accepted by motorists in India. Because of that, the U.S.-based company plans that this South Asian country will be the launch pad for its upcoming model. With a tag price lower than GM’s current small car Chevrolet Spark, the upcoming compact vehicle will also be part of the U.S.-based company’s plan of combining of all its $300 million-worth of auto parts exported outside America.
“I think there is enough space for entry of yet another car in the small car segment,” said David N. Reilly, who is the vice-president of GM in India. “We are planning to introduce a small car in the next two years, which will first be launched in India.”
If all things go well, GM will greatly benefit from the small automobile market of India, like what my Autopartwarehouse friends would reckon. In the next couple of years, GM hopes to move up several notches to 10-percent from its current three-percent status. Once the market share of the American automobile giant improves, all of its compact vehicles, along with the medium-sized models, will all be exported to this country.
“India has the full potential of becoming a lucrative export hub for small cars and we are planning to make India for our small cars,” said Reilly, who is also GM-Asia Pacific’s president.
Penetrating wholly the small car market of India, however, will definitely not going to be a walk in the park according to Reilly. He noted that GM’s upcoming compact and affordable vehicle will likely go bumper to bumper with Tata’s Nano, which was released last January at India’s Auto Expo. Moreover, the company is also planning of launching inexpensive pickup vans and more small cars in the future. Nonetheless, General Motors is keeping a positive outlook on the matter and is even looking forward to doubling or even tripling its sales, which is currently $300 million, in the next three to four years.
“Till now we have been producing cars, which are low cost and competitive, only to meet the Chinese demand. But now we are seriously looking for introducing these outside China, including India,” said Reilly.
Source: The Hindu Online Edition.
