Published On:July 30 2015
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GM to invest $1 billion in India by 2020.
During her visit last September, General Motors CEO Mary Barra had said she had plans that would sync with Prime Minister Narendra Modi’s ‘Make in India’ programme. She has now announced an investment of $1 billion (₹6,400 crore) in India over the next five years. The company also plans to launch 10 new models over that period.
The $1-billion investment is part of Chevrolet’s $5-billion commitment to global growth markets.
However, the company also said it is shutting down the Halol (Gujarat) plant, which currently employs around 1,000 workers and 300 contract labourers. While GM India says the workers are welcome to shift to its Talegaon (Maharashtra) plant, it is not sure whether the workers will do so or if they will be absorbed at another facility.
Barra focussed on talking about the investment plan and the 10 new Chevrolet launches, as well as creation of 12,000 jobs for GM India and its suppliers.
She said the investment will be made only on development of new products, getting equipment and expansion of the Talegaon plant for the rollout of global products.
“The recipe that we are repeating is truly understanding, putting customers at the centre of the development and bringing that to the marketplace,” she said.
According to Abdul Majeed of PwC India: “To succeed, one has to look at all three areas: product portfolio, distribution and after-sales services. These should be customer centric.”