Car News in India

Car maker General Motors India on Monday reported an increase of 6.74 per cent in sales for December 2011 at 9,039 units.

The company had sold 8,468 units in the same month of the previous year, General Motors India said in a statement.

In December, last year, the company had sold 1,365 Spark hatchbacks, 486 Cruze sedans and 4,796 units of its latest compact car offering Beat, it added.

It also sold 191 units of entry-level sedan Aveo, 227 units of mid-sized sedan Optra, 1,927 units of multi-utility vehicle Tavera and 47 units of its Captiva SUV.

“We have been able to sustain the growth primarily due to the encouraging response to Chevrolet Beat. Other carlines like Spark, Cruze and Tavera have also generated substantial volumes for the company,” GM India Vice President P Balendran said.

In the 2011 calendar year, GM India sold a total of 1,11,510 units compared to 1,10,804 units a year ago.

However, unprecedented hikes in interest rates, fuel prices, commodity prices, growing inflation and policy paralysis at the centre have led to negative sentiments in the automobile market, he added.

“We expect the market to remain tight for at least a couple of months to come,” Balendran said.