General Motors of the US has chalked out its strategies for the Indian show that for LCV manufacturing it is investing $100 million for setting up sales and distribution wing, said the company’s President for India. The company, it is known, is in a JV with China’s SAIC on 50:50 basis, but the Indian marketing of LCV will be done through a separate platform he added. Without sharing the existing facilities for passenger cars, the company will go in for an exclusive set up with this investment. There will be two LCVs of sub-one tonne and one tonne categories which may be delivered from the Halol facility before 2011 end. Once this facility becomes equipped for LCVs the production of other passenger cars will be migrated to Talegaon plant.
The President said that there is a much difference between LCV buyers and on lookers; in the process, the existing dealers may lose their chance to deal with LCVs. Since the LCV will not come under Chevrolet banner, it will have a separate identity with different dealership network, he said. GM is fully aware of the competitive product from Tata Ace under one tonne category. GM has another JV with the Chinese firm FAW for medium and heavy commercial vehicle, but the segment is not under consideration now from Tata. Prior to the JV with SAIC, GM India was in a pact with Korean and Australian firms. The company resident hoped that the sale of the company would tripled in 2012 with a sale of 1 lakh units in 2010 from 69000 in 2009.