Subscribe to Updates

    Get the latest creative news from FooBar about art, design and business.

    What's Hot

    A Small-Displacement Aprilia Sportbike Has Been Spotted Testing In India

    February 3, 2023

    Toyota provider Denso cuts revenue forecast on manufacturing dangers

    February 3, 2023

    Xpeng goes upmarket in Europe with bigger, pricier EVs

    February 3, 2023
    Facebook Twitter Instagram
    • About Us
    • Contact
    • Privacy Policy
    • Disclaimer
    Facebook Twitter Instagram Pinterest VKontakte
    The Auto JournalThe Auto Journal
    • News
    • Car
    • Bike
    • EV
    • Comparisons
    • Reviews
    • Guide
    The Auto JournalThe Auto Journal
    Home ยป GM cancels plan to promote India meeting plant to Great Wall
    News

    GM cancels plan to promote India meeting plant to Great Wall

    Editor - The Auto JournalBy Editor - The Auto JournalJuly 1, 2022Updated:July 3, 2022No Comments3 Mins Read
    Facebook Twitter Pinterest LinkedIn Tumblr Email
    Share
    Facebook Twitter LinkedIn Pinterest Email

    NEW DELHI/SHANGHAI – General Motors stated on Friday it had known as off the sale of a shuttered Indian plant to China’s Great Wall Motor after it didn’t receive regulatory approvals, amid a harder stance by New Delhi in direction of investments from Beijing.

    GM struck a deal in January, 2020 to promote the plant to Great Wall, with the Chinese SUV-maker anticipated to pay as much as $300 million as a part of a broader plan to speculate $1 billion to determine a presence in India’s rising automobile market.

    The settlement, prolonged twice, expired June 30.

    “We have been unable to obtain the required approvals within the time frame of the deal,” George Svigos, govt director of communications at GM International, advised Reuters.

    “Our strategy in India remains unchanged and we will now explore further options for the sale of the site,” he stated, including the corporate “hopes to achieve a price that reflects the value of the asset”.

    “Great Wall Motor will keep its attention to the Indian market in the future and continue looking for new opportunities,” the Chinese automaker stated in a press release on Friday, whereas confirming the termination of the plant deal.

    The Indian authorities didn’t instantly reply to emails searching for remark.

    GM’s cope with Great Wall was finalized simply months earlier than India toughened its stance in April, 2020 on funding from neighboring international locations together with China, making them the primary main casualty of the transfer that has held up billions of {dollars} of capital influx in sectors reminiscent of vehicles and know-how.

    This was a part of a broader Indian crackdown on companies with Chinese hyperlinks amid worsening diplomatic relations. Separately, New Delhi additionally banned greater than 300 Chinese cell apps, together with TikTok, over safety considerations.

    “It is hoped that the relevant countries will properly honor their commitment to openness and cooperation and provide a fair, just and non-discriminatory business environment for foreign investors,” China’s Ministry of Foreign Affairs advised Reuters when requested to touch upon the matter.

    The transfer forces GM to restart its hunt for a purchaser whereas it continues to spend cash on sustaining some equipment and tooling within the manufacturing unit.

    Asked if the plant may very well be used to make EVs, Svigos stated it was appropriate for various industrial makes use of, together with by non-automotive firms, and GM would discover all choices.

    GM, which stopped promoting vehicles in India on the finish of 2017, has already offered its different plant to SAIC Motor Corp, the place the Chinese automaker builds vehicles underneath its British model, MG Motor.

    This additionally sends Great Wall again to the drafting board on its plans to enter India, which it thought of an necessary a part of its international technique to interrupt into new markets like Latin America, Thailand and Brazil.

    Last 12 months, Great Wall re-allocated to Brazil a portion of its $1 billion funding earmarked for India and reassigned a few of its workers after delays in successful authorities approvals.

    Source: www.autonews.com

    Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
    Previous ArticleWhat the EPA ruling means for the carbon footprint of your electrical automobile
    Next Article Audi: Chip scarcity to stretch into 2023; EV wave coming
    Editor - The Auto Journal
    • Website

    Related Posts

    Toyota provider Denso cuts revenue forecast on manufacturing dangers

    February 3, 2023
    Read More

    Xpeng goes upmarket in Europe with bigger, pricier EVs

    February 3, 2023
    Read More

    Solar Car Company Files Bankruptcy Just Weeks After Announcing a Cheaper Model

    February 3, 2023
    Read More

    Five Takeaways from Harley-Davidsons This fall 2022 Results

    February 3, 2023
    Read More
    Add A Comment

    Leave A Reply Cancel Reply

    Editors Picks

    A Small-Displacement Aprilia Sportbike Has Been Spotted Testing In India

    February 3, 2023

    Toyota provider Denso cuts revenue forecast on manufacturing dangers

    February 3, 2023

    Xpeng goes upmarket in Europe with bigger, pricier EVs

    February 3, 2023

    Four Banger Blast: Why the New Kawasaki Ninja ZX-4RR Matters

    February 3, 2023
    Top Reviews
    Advertisement
    The Auto Journal
    Facebook Twitter Instagram Pinterest YouTube LinkedIn
    • About Us
    • Contact
    • Privacy Policy
    • Disclaimer
    © 2023 The Auto Journal. All Rights Reserved.

    Type above and press Enter to search. Press Esc to cancel.