| 4:13 PM EST

GM Ready to Sell India Plant

General Motors is shutting down operations in India by selling its last plant there to Chinese carmaker Great Wall Motor.
#GeneralMotors #SAIC #GreatWallMotors


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General Motors is finalizing a deal to sell its last factory in India to Chinese carmaker Great Wall Motor.

It’s the latest part of GM’s retreat from markets where its investments haven’t paid off. During the past decade the company also has phased out or sharply slashed local operations in Australia, Europe, Russia, South Africa and Venezuela.

No Traction

In 2016, GM was operating two plants in India—in Halol and Talegaon—with combined annual capacity of 260,000 units. But that year the company sold fewer than 29,000 cars there, a market whose growth potential was being compared to China’s.

In early 2017, GM sold its Halol facility to China’s SAIC Motor. A month later the company said the smaller Talegaon factory would stop serving the Indian market and become an export hub instead.

One Market, Two Views

At the time, then-President Dan Ammann said GM was bailing out of India to refocus resources on markets with greater growth potential.

Great Wall sees India differently. It describes the country’s “great potential, rapid economic growth and a good investment environment.”

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