Relief for Gujarat as General Motors does U-turn - The Financial Express

Relief for Gujarat as General Motors does U-turn

US auto major General Motors on Thursday said that it will continue production at the Halol assembly plant in Gujarat until March 2017 while it will continue to review future options for the site, including sale of the plant.

By: | Updated: June 25, 2016 7:23 AM
General Motors It may be recalled that General Motors India originally planned to stop the production at Halol plant by mid-2016 due to poor sales. (Reuters)

US auto major General Motors on Thursday said that it will continue production at the Halol assembly plant in Gujarat until March 2017 while it will continue to review future options for the site, including sale of the plant.

It may be recalled that General Motors India originally planned to stop the production at Halol plant by mid-2016 due to poor sales.

However, it has now decided to continue the production till March next year. The Halol plant has an installed plant capacity of 1.1 lakh units per annum.

In a press release here, GM India president and managing director Kaher Kazem, said this fresh move will provide more time to ensure an orderly transition for employees, suppliers and other stakeholders as the company continues to work through options for the facility.

He also said GM India also confirms that in coming months it would begin production of an upgraded Tavera at the Halol assembly plant. “GM India will continue with its plan to consolidate manufacturing at its Talegaon plant (Pune),” said Kazem.

“We are exploring a number of options in relation to the Halol site, including its sale,” he said.

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