Sail will compete with the likes of Maruti Dzire, Toyota Etios, Mahindra Verito, Ford Fiesta Classic and Tata Indigo.
"This is based on a platform we share with SAIC in China but there have been substantial changes that have been made in this car. The suspension has been tuned, ground clearance raised and interior trims have been changed to suit the conditions here," said Lowell Paddock, president and MD, GM India.
GM hopes to sell around 50,000 units of the sedan and its hatchback version this year with the former accounting for the majority sales.
The Sail U-VA has received lukewarm response with sales of around 3,200 units in the first three months after launch.