GM Opens Second Plant in Western India

New plant will allow GM to triple production capacity to 225,000 per year

In a move that will triple annual production capacity to 225,000 vehicles a year, General Motors opened its second plant in western India on Sept. 2.

The company said it had invested $300 million in the new factory in Talegaon, near Pune city, 100 miles southeast of Mumbai. The company currently produces 85,000 cars a year in India.

The new plant will have an annual output of 140,000 vehicles and will boost GM's total annual production by 165% to 225,000 vehicles.

GM India, a fully-owned unit of General Motors, sells products under the Chevrolet brand in India. Last week it announced it would invest another $200 million in an adjacent facility aimed at producing 300,000 engines a year for both domestic and export markets.

General Motors India on Sept. 2 reported a 4.4% rise in August sales to 6,074 vehicles from the same month last year.

Copyright Agence France-Presse, 2008

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