Business Desk
General Motors Corp. today inaugurated its second vehicle manufacturing facility in India at Talegaon, Maharashtra. GM’s all-new production facility in India will more than double the automaker’s manufacturing capacity to 225,000 units in one of the world’s fastest-growing vehicle markets.

Among those present at today’s ceremony included the Hon’ble Chief Minister of Maharashtra Mr. Vilasrao Deshmukh, Hon’ble Minister for Agriculture, Consumer Affairs & PDS, Govt. of India, Mr. Sharad Pawar, Hon’ble Minister for Industries Mr. Ashok Chavan, Hon’ble Minister for Water Resources & Water Supplies Mr. Ajit Pawar, Hon’ble Minister of State for Industries Mr. Rana Patil, Chief Secretary of the State, Mr. Johny Joseph, Principal Secretary (Industries), Govt. of Maharashtra, Mr. A.K. Khan, GM President and Chief Operating Officer Mr. Fritz Henderson, GM Group Vice President and GM Asia Pacific President Mr Nick Reilly, GM India President and Managing Director Mr Karl Slym and other dignitaries.

The state-of-the-art, 300-acre (120-hectare) GM Manufacturing Facility at Talegaon has been set up with an investment in excess of US$300 million. Its more than 1,000 employees will manufacture the Chevrolet Spark mini-car for the domestic market. The facility will have an initial annual production capacity of 140,000 vehicles and is designed to accommodate future expansion, in line with demand for its products.

“Coming on the eve of the celebration of GM’s centennial on September 16, the inauguration of our new facility makes a clear statement about GM’s commitment to India,” said Fritz Henderson at today’s ceremony. “As we enter our second century of doing business, there are few markets that will be more important. GM is serious about becoming a leader in India just like we are in many other markets around the globe.”

“Today marks the beginning of GM’s next chapter in India,” said Nick Reilly. “Our Talegaon plant will enable our company to keep up with growing sales of passenger cars, as more and more consumers move to four wheels from two- and three-wheelers. At the same time, it will give us the ability to expand our lineup of Chevrolet products to meet the ever-changing demands of the domestic vehicle market.”

Karl Slym added, “We appreciate the support of the Government of Maharashtra and our employees across the country. Their backing has enabled us to build a world-class greenfield facility that will serve as a driving force of the local automotive industry.”

On August 3, 2006, GM signed an agreement with the Government of Maharashtra for the construction of the car building facility. The foundation stone for construction was laid on November 21, 2006. Pilot production of vehicles began on March 19, 2008.

It may be recalled that General Motors and the Government of Maharashtra also signed a fresh memorandum of Understanding with the Government of Maharashtra on 28 August 2008 for the establishment of its Powertrain production facility at Talegaon. Representing an initial and additional investment in excess of $200 million, the facility will soon come up to service the requirements of GM India’s engine and gearbox requirements in the country.

The GM Auto Manufacturing Facility – Talegaon, complements GM’s existing production facility in Halol, Gujarat. GM currently manufactures the Chevrolet Captiva, Chevrolet Optra, Chevrolet Aveo, Chevrolet SR-V, Chevrolet Aveo U-VA and Chevrolet Tavera for sale in India. In addition, the GM India Technical Center in Bangalore is carrying out a range of engineering, research and development activities for GM on a local, regional and global basis.