GM opens flexi-engine plant and power train at Talegaon facility

General Motors has opened its first-ever power train plant at its Talegaon engine plant, which has the facility to produce both, petrol and diesel engines at the same time.

GM said it has invested $230 million in the new facility, near Pune and the plant would help increase production of small cars.

"This is the first plant of GM, which has both petrol and diesel flexibilities. It has capacity of producing 1.6 lakh units in the first phase and will increase production up to 3 lakh in the second phase.

The opening of our new facility will enable our company to become more competitive and keep up with the growing demand for our vehicles. GM India's sales have grown significantly since we began rolling out our mini-cars, the Chevrolet Spark and Beat, at our Talegaon plant about two years back," Karl Slym, president and MD of General Motors, said.

GM is planning to export these engines to neighbouring countries like Nepal, Bhutan, Sri Lanka and Bangladesh. Slym said GM has long-term plans for India and is adopting a phased localisation programme.

While the Tavera model is fully localised, for other models, the company is importing only high tech parts. "GM has localised up to 60 per cent of the Beat and with the engine we should be able to add another 25 per cent. Our new cars will have a very high local content as Indian suppliers move up," he said.

GM, which posted a 76-per cent year-on-year growth in the September quarter, expects to showcase an electric car model in India by April 2011 and is upgrading R & D facility at Bangalore.