Matiz to fuel Daewoo’s sales growth in India

“With the start of second shift, we would increase our daily production from 150 cars per day to 250,” said he. Of this, over 50 per cent of the production would consist of Matiz while rest would be other cars. The companymanufactures mid segment Sedan, Nexia and Cielo which has been received well by the market, Min claims.

On Daewoo’s future, Min said as Daewoo’s parent company, Daewoo Motor Corporation in Korea is up for sale, the Indian subsidiary would be sold as a part of the package. Of the three suitors, General Motors, Ford and Chrysler, as of now, GM is leading the race. “No final decision has been taken as yet as the Daewoo creditors are still negotiating with the car majors,” Min added.

With a world-wide production capacity of 1.95 million cars per annum, Daewoo would propel any of the three buyer companies as the biggest car maker. For example, General Motors’s capacity will go up to 10.09 million units from its present 8.14 units while Ford’s capacity will increase to 8.77 million, piping General Motors should it decide to buy Daewoo Motors plants worldwide.

The company has presence in China, Poland, Czechoslovakia and Romania and, any takeover would give the acquirer a significant presence in thesecountries, he said. In a record of sorts, the company also exported 500 Matizs to Italy from India this month.