GM considering a compact sedan for India

GM is considering a compact sedan for India in a bid to improve its faltering sales. Codenamed the 'MCM', the new sedan will be an extension of GM's Gamma platform. If GM India does follow through with these plans, the new compact sedan and next generation Beat, could arrive in India around 2017.

The new products are expected to fall under GM's global emerging market (GEM) range of models. The project, previously known as 'Amber' is expected to produce a premium hatchback, a compact sedan & a compact SUV. GM isn't the only one looking to cash in on the successful compact sedan segment. Manufacturers like Ford also plan to launch the Figo compact sedan in 2015. Ford premiered the Figo concept in the run up to the 2014 Delhi Auto Expo. Even Volkswagen's launch pad includes a sub 4-metre sedan that will be based on the Vento.

GM's sales slowdown has resulted in the company relying heavily on improved exports. Sources say GM is planning to export nearly 30% of its annual production over the next few years. In a year that saw the industry's long standing slump finally end, GM has not launched any significant new models. The brand's highlight of the year being the refreshed Sail series. By launching a compact sedan, the American car maker could see the benefits of a segment that accounts for around 3.5 lakh sales annually.

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Source: ET Auto