General Motors said on Friday that India continues to be one of the key growth
markets within the region and that it will increase the number of products it
sells once qualitative restrictions (QRs) are removed.

General Motors India (GMI) president and managing director Aditya Vij, talking
to journalists at the unveiling of the Astra Club 2001 and Corsa Royale models,
said that with “social equations” changing and the “increase in the upper middle
class sector, the Indian auto-market holds great promise ahead.”

GM is looking at numerous options and will decide on new models after the new
auto policy has been announced. The post-QR environment “will play a vital role
in finalising our future introductions,” Vij said.

GMI has succeeded in considerably reducing prices of frequently-used parts
by 25 to 35 percent due to substantial localistion which, in turn, has brought
down ownership cost.

GMI is seeing strong sales of high-end versions of its cars, with the industry
overall recording a 10 per cent growth in 2000 compared with 1999.

Mr Vij said that by the end of this financial year, “the company intends to
have 44 dealers – up from 34 at present – and an equal number of authorised
service outlets across the country.” GMI plans to sell 7,700 Corsas and 3,000
Astras this year.