GM India Starts Trial Production of Mini Car

General Motors India has begun trial production of its new mini car to be launched later this year. This is the first major project after its parent company General Motors filed for bankruptcy on June. The mini car will be launched in the small car segment in addition to the existing small car Chevrolet Spark.

Talking to the media, the President and Managing Director of General Motors India, Mr. Karl Slym said "The mini car is being developed around the concept car Beat hatchback. The mini car will be rolled out with multiple fuel options in the second half of the 2009."

In Indian subsidiary of the General Motors is facing pressure from employee to roll this out early. The company in India is comfortably placed, despite upheavals in its parent company in United States.

General Motors has invested over US $ 1 billion in India. It has an existing production facility with a capacity to manufacture 2.25 lakh cars in two plants at Halol and Talegaon. The company plans to increase production capacity to 3 lakh cars annually. The construction for press shop has been completed and the building for the transmission unit is ready. The work at the transmission plant will start by next year. In addition to this the company is also constructing a new engine production plant.

Mr Karl Slym added that the company plans to roll out new cars this year. A mid-size luxury sedan Chevrolet Cruze priced around Rs 12 lakh will arrive in September and a new mini car will be introduced by the end of this year. The mini car will be priced around Rs 4 lakh.

Sources: http://www.carazoo.com/article/0204200901/Interesting-Facts-and-Fictions-on-General-Motors?; http://www.carazoo.com/article/2001200901/Top-7-Cars-Expected-to-Revive-the--Indian-Car-Market