GM to buy more auto parts from India

[OhioChick]

Source: Reuters Canada

Tue Apr 17, 2007 5:41 AM EDT

NEW DELHI (Reuters) - General Motors Corp. (GM.N: Quote) is looking at a "multiple increase" in auto parts sourcing from India, Chief Executive Rick Wagoner said on Tuesday.

Wagoner also said India would be the world's second-fastest growing auto market over the next decade.

"Half of (the population) is under 25 years, so there's a lot of potential buyers for everything," Wagoner said.

Annual passenger vehicle sales in India are forecast to nearly double to 2 million units by 2010, on the back of rising incomes and new launches from the world's top car makers.

"We are not only focusing on leveraging our supply base to suit our local needs, we are also looking to source more parts out of India to supply our global operations," Wagoner said at a business conference in India.

"We hope to increase our sourcing significantly over the current level, perhaps as much as five-fold over the next two years."



Read more: http://ca.today.reuters.com/news/newsArticle.aspx?type=businessNews&storyID=2007-04-17T094148Z_01_BMA000699_RTRIDST_0_BUSINESS-GM-INDIA-COL.XML

[Greyhound]

1. "Annual passenger vehicle sales in India are forecast to nearly double to 2 million units by 2010"

I'm telling ya, the minute that India and China achieve a critical mass in their emerging middle class, all of our companies are going to bail on us, and leave us holding the empty bag.

[madrchsod]

2. the joke is on them.....

i personally can state that a certain company from india makes really crappy parts but they are cheaper per unit than anyone else in the world. all i can say is good luck gm..

i wonder where they are going to find the oil to power these cars?

[Vinca]

3. Do any of these companies consider how they will sell their

products to Americans without jobs?

[aquart]

4. They're planning to sell them to Indians.

We don't count.

[Javaman]

5. Thank you! come again! nt