General Motors stops sale of vehicles in India

DECCAN CHRONICLE.
Published May 19, 2017, 12:36 am IST
Updated May 19, 2017, 12:36 am IST
From end of 2017 and will instead focus on its growing exports from the country.
The company determined its greatest opportunity in India to drive shareholder return rests on focusing on exports from India,” said GM.
 The company determined its greatest opportunity in India to drive shareholder return rests on focusing on exports from India,” said GM.

New Delhi: After failing to turn around its operations, American auto major General Motors (GM) announced on Thursday that it will stop sale of its vehicles  in India from end of 2017 and will instead focus on its growing exports from the country.

“The decision, which follows a comprehensive review of future product plans for GM India, is part of a series of actions taken by General Motors to address the performance of its operations world-wide. Through the review, which began in June 2016, the company determined its greatest opportunity in India to drive shareholder return rests on focusing on exports from India,” said GM.

“We explored many options, but determined the increased investment originally planned for India would not deliver the returns of other significant global opportunities. It would also not help us achieve a leadership position or compelling, long-term profitability in the domestic market. Difficult as it has been to reach this decision, it is the right outcome to support our global strategy and deliver appropriate returns for our shareholders,” said Stefan Jacoby, president of GM International.

 




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