Chevrolet To Exit India And South Africa

The company also noted that it would continue to work with Peugeot, in France, which earlier this year acquired the Opel brand from GM, to evaluate "future opportunities for the Opel brand in South Africa".

But it doesn't plan to leave India entirely. The Halol plant will be sold to GM's Chinese joint venture partner, SAIC, after GM announced two years ago that it would shutter the plant.

General Motors (GM) has announced that it is "transforming" its business globally and, as a result, will be pulling out of South Africa.

The $5 billion GEM program, which GM is developed with Shanghai Automotive Industries Corp.is on track to produce 2 million vehicles a year to sell in China, Latin America and Mexico.

Worldwide will streamline its regional headquarters office in Singapore, which will retain responsibility for strategic oversight of the remaining regional business and markets, including Australia and New Zealand, India, Korea and Southeast Asia. GM sold just 49,000 vehicles in India and South Africa combined past year. Meanwhile, there will be no impact on the manufacturing workforce at the Talegaon production facility. However, struggling to make a turnaround in India, the company put on hold the plan and undertook a full review of its future product portfolio here.

Stefan Jacoby, GM executive vice president and president of GM International, commenting on the decision, said, "We explored many options, but determined that the increased investment originally planned for India would not deliver the returns of other significant global opportunities". GM sales in South Africa past year totaled around 20,000 vehicles.

However, this decision comes as much less of a surprise upon learning that after twenty years in the market, Chevy holds less than one percent share of passenger auto sales in India. Customers, on the other hand, are now left with the big question as to what happens to Chevrolet's service network. "There was no consultation with the union, and furthermore, the company has not divulged any details about the fate of its employees affected by this restructuring", says Jim. But its market share fell to below 1 percent in the year ended March 31 from 1.17 percent the previous year - even as India's market grew 9 percent to climb above the 3 million vehicle level. Passenger cars and commercial vehicles are sold under the Baojun, Buick, Cadillac, Chevrolet, Jiefang and Wuling brands.

GM India produced more than 83,000 cars in 2016-17 and most of these were exported. The Halol plant was GM's first plant in India which was set up in June 1996.


Popular
  • Gal Gadot Breaks Down Her Intense Preparations For Her 'Wonder Woman' Role

    Gal Gadot Breaks Down Her Intense Preparations For Her 'Wonder Woman' Role

    Joining Gadot in the global cast are Chris Pine , Robin Wright, Danny Huston , David Thewlis, Connie Nielsen. Only five female directors have handled a film budget over $100million, and Patty Jenkins is one of them.

    Local elections bring cheer for Theresa May

    The Tories also retained Essex, Hampshire and Dorset , while Wrexham and Flintshire councils remain without overall control. And the party has made unprecedented inroads in Scotland, where it is already the main opposition in Holyrood.

    The BC Liberals win a minority government

    But the mood became more tense as the evening progressed, and faces became more serious as the NDP began to catch up. So nuts, in fact, that it's a little hard to tell who's actually running the province right now.
  • Debris found in Bermuda Triangle matches model of missing plane

    Debris found in Bermuda Triangle matches model of missing plane

    A number of aircraft and ships have disappeared under mysterious circumstances in the Bermuda Triangle over the years. A Coast Guard cutter was dispatched to the area and was expected to arrive later today to assist with the search.
    Running Windows? How to protect against the big ransomware attack

    Running Windows? How to protect against the big ransomware attack

    The other is to disable a type of software that connects computers to printers and faxes, which the virus exploits, O'Leary added. Security companies and law enforcement scour ransomware to find mistakes, which "allows them to crack the code", Woser said.
    Bates: Remembering my mom on Mother's Day

    Bates: Remembering my mom on Mother's Day

    Again, you're saving the family's money, so she can buy you nice things later. "I'll have somewhere to go this Sunday evening". It might be roast beef, cooked in a large cast-iron pot along with potatoes and carrots and celery and onions.
  • Heat land No. 14 pick in draft lottery

    With Kobe Bryant out of the picture and a new general manager in the fold, LA is a franchise in transition. And you never know when the next team is looking to rebuild and ship off a star player.

    Cyber attack criminals will be brought to justice, investigators pledge

    Two security firms - Kaspersky Lab and Avast - said they identified the malicious software in more than 70 countries. Microsoft said the situation was "painful" and that it was taking "all possible actions to protect our customers".

    Melissa McCarthy adds spice (and Spicer) as host of 'SNL'

    Of course, when it's suggested that "Sanders" run the press briefings instead of Spicer from now on, "Spicer" can't take it. McCarthy's angry Spicer announces after storming into the room following the suggestion that Sanders simply replace him.
  • Companies Victimized By WannaCry Ransomware Could Be Sued For Negligence

    The malware spread quickly on Friday, with medical staff in the United Kingdom reportedly seeing computers go down "one by one". Microsoft and its peers shouldn't count on the NSA to hand over information about vulnerabilities; spies will be spies.

    Iran reformist drops out of election, supports Rouhani

    They're either out of work or they will be out of work. "I am here to ask people to help a honest , caring and capable president". According to the conservatives' polls , Rouhani and Ghalibaf would draw an equal number of votes in the coming elections.
    Europol Admits Cyber-attack was Unmatched

    Europol Admits Cyber-attack was Unmatched

    The organisation said it continues to experience IT disruption and urged the public to use other NHS services where possible. The US Treasury Department said it will play a "leading role" in protecting the global financial system's IT infrastructure.

CONNECT