Gm To Unveil More Models, Diesel Astra Soon

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General Motors (GM) India Ltd is contemplating a diesel version of Opel Astra in a years time, and a utility vehicle in 1999, president and managing director Ronald G Nardi said.

A diesel version of the Astra is currently undergoing tests. If it passes the test and maintains the quality level associated with GM cars, we will be able to introduce it by July 1998, Nardi said.

GM is also eyeing the utility vehicle segment which saw a tremendous growth last year mainly due to the introduction of Tata Sumo.

Experts feel that this segment is poised for further growth with Tatas all set to introduce a new vehicle Safari. Before introducing any new cars, the vehicle that we may launch will be in the utility segment, Nardi said.

General Motors is the worlds largest car manufacturer with a sales turnover of $168 billion (Rs 6,04,800 crore) with manufacturing operations in 43 countries.

GM, which has several brands like Chevorlet, Pontiac, Buick, Cadillac, Opel, Saab and Vauxhaull, sells around 8.3 million vehicles annually (compared to nearly four lakh cars sold in India). Nardi said the company is also thinking in terms of introducing a car which could be priced between the luxurious Astra and the super luxurious Mercedes Benz.

General Motors India is a 50:50 joint venture between General Motors Corporation and the C K Birla group of companies with a total investment of about Rs 300 crore.

The company has its manufacturing site at Halol in Gujarat, and currently manufactures only the Opel Astra.

There are opportunities for small cars, large cars and utility vehicles in India, and we have a long stable to choose from, Nardi said. The diesel Astra that runs in Europe would be suitable for Indian conditions and work is progressing on the prototype, he said.

Even the engine will be modern, and we have a test vehicle running now with a better air conditioner, different interior and packing, Nardi said.

He, however, said we are not going to bring it in if it does not perform to our satisfaction.

Nardi said it would take the American giant at least two to three years for introducing a small car in the country but ruled out any chances of keeping the price as low as some of the Indian manufacturers.

On the utility vehicle, which can carry about seven people, Nardi said GM will not be able to price it below Rs 7 lakh, and added we will see what people can pay over the price of the existing utility vehicles.

Last week, Nardi had ruled out chances of the American company taking majority stake in the joint venture saying the Birlas were in good shape, and he saw few problems with the Indian partner for financing future requirements.

GM has set a target sale of 12,500 units in the current calendar year after putting nearly 6,000 vehicles on the Indian roads till now. (PTI)