New Delhi, November 2, 2012: General Motors India (GMI) is targeting growth in India with its new premium Chevrolet Sail U-VA hatchback, Sail saloon model as well its upcoming Enjoy MPV. Both the Enjoy and the Sail U-VA saloon are expected to be launched by the year end or early next year. The Sail U-VA is the first of the products for the Indian market from the GM-Shanghai Automotive Industry Corporation (SAIC) stable.
Lowell Paddock, president and managing director, GMI, visualises both these cars as major growth drivers for GM India in 2013, more so the diesel models as they have a proven record overseas.
According to him, both models would be positioned in a segment that is growing. GMI’s lack of products in this market as also in the diesel portfolio is one of the reasons why the company has not really taken off in terms of sales and market share in India. At present, GMI has a 3 percent market share.
Earlier today, GMI launched its all-new Sail U-VA hatchback in petrol and diesel trims with a price tag that starts at Rs 4.44 lakh for the base petrol model and goes up to Rs 6.62 lakh (both prices, ex-showroom Delhi) for the Sail U-VA TCDi LT diesel edition that comes with ABS (anti-lock braking system). GMI had simultaneous launches in Delhi, Mumbai and Chennai.
GMI has launched four petrol variants of the Sail U-VA and three diesel editions. Both the top-end models in petrol and diesel are fitted with ABS. Three of the four variants come equipped with airbags.
The Sail U-VA, which is sold in 13 countries overseas, has clocked sales of 500,000 units. It is especially popular in China, where the car’s average monthly sales are around 25,000 units, and also in Chile and Equador.
GMI claims the Sail U-VA 1.3-litre SDE Smartech diesel engine delivers 22.1 kilometres per litre, while the 1.2-litre petrol version delivers 18.2kpl. The diesel engine was developed by the GM Diesel Engine Technical Center in Turin, Italy, working in collaboration with engineers in Pune and Bangalore. The 1.2-litre Smartech petrol engine was developed by the GM Technical Center-India in cooperation with GM India’s Talegaon engine plant.
The new Sail replaces the old Aveo U-VA that was unable to take on the Maruti Swift and Hyundai i20. It however retains the U-VA brand name, which Paddock says is recognised in the market.
Model refreshes to drive sales
Recently GMI launched a refreshed version of its Spark hatchback. This year has also seen rollouts of the new Chevrolet Cruze, Tavera, Captiva and new Beat. The Beat has been a sterling contributor to GMI sales and has been averaging sales of around 4,000 units every month. The car has sold 26,864 units in the April-September 2012 period, most of them diesel. However, the Beat has been steadily losing ground and Ashwani Muppasani, VP-VSSM, attributes this to the decline of 16-17 percent in the B1 segment where it was positioned.
Meanwhile, the festive cheer in the market has yet to reach GMI. Its October 2012 sales have dipped 32 percent to 6,754 vehicles (October 2011: 10,062 units). P Balendran, vice-president, GMI, says the market continues to remain subdued due to high interest rates and other negative sentiments. He, however, expresses optimism that the new Sail and other new launches in the coming months will help drive growth.
SHOBHA MATHUR
Photograph: L-R: GM India’s Vikas Jain, director (sales) and Anil Mehrotra, VP and CFO, at the Mumbai launch.