Wednesday, September 28, 2011
By Pranjal Gera
Chevrolet Car prices to increase soon
A price review meeting of USA based multinational automaker General Motors is scheduled to be held in the start of the last quarter this year. Following the review meet the prices are expected to rise for all models of GM vehicles in India. The major auto manufacturing companies in India for instance Mahindra and Mahindra; the homegrown automobile manufacturer and Japanese major in India Toyota Kirloskar has by now revised their cost by two percent. Now, to follow the similar suite is General Motors India.
Mr. Karl Slym, President and Managing Director of General Motors said that the rising prices of raw materials like steel, rubber etc. are the reasons behind the price hike. Rising costs have not only affected their profit margins but sales have also dipped credit to increasing fuel prices and high loan rates, with current conditions not favorable the auto manufacturers are in a complexity.
The President spoke about the progress made by the company in the year 2010. In the period of last year General Motors India slated a growth of 60% which was double compared to others in the auto industry who registered an increase of 30%. This year during the months of July and August the auto sector observed a dip in passenger car sales and in contrast the General Motors have experienced record rise in sales of 14% and 10% respectively.
But during this festive season any price rise might directly affect the sales and as a result the revised new prices will be effective only by end of October i.e. post Diwali-Dusshera.