GM sees ebb in Chindia car boom
The bull run in demand for cars in China and India may come to an end, the world's second largest carmaker General Motors said on Thursday.autos Updated: Jan 27, 2011 21:58 IST
The bull run in demand for cars in China and India may come to an end, the world's second largest carmaker General Motors said on Thursday.
GM, which launched a locally developed range of engine Smartech, said the over 30% rate of growth witnessed in the two markets was unsustainable and would see a moderation in 2011.
"These growth rates of 30% in China are just not sustainable," said Tim Lee, president, GM International Operations. "We see sales growth slowing to 10-15% in China and India."
Car sales in China grew by 32% in 2010 and 31% in India and the two markets have been the fastest growing over the last two years. Despite the projection of a moderation, GM expects its own sales in India to triple to 3 lakh units per annum by 2013. It has already announced that it will launch 4 new cars and 2 commercial vehicles in India over the next 2 years.