General Motors sales down 16% at 4,667 units in Jan

Withdrawal of excise duty benefits has significantly affected demand during the previous month, says company's India VP

General Motors India today reported a 16.01% decline in sales at 4,667 units in January as against 5,557 units in the same month last year.

Commenting on the sales performance, General Motors India Vice President P Balendran said: "The withdrawal of excise duty benefits has significantly affected demand during the previous month. High interest rates and weak economic fundamentals continue to put pressure on car purchases."

The auto sector's turnaround is possible only if interest rates are reduced in phases and government announces big-ticket reforms in the upcoming budget to revive the consumer sentiment, he added.

"These steps will support sustainable long-term growth for the automobile industry," Balendran said.