General Motors intends to source components worth US$ 1 billion in the next 2 years time from India for its overseas operations.
GM has around 444 qualified suppliers in India, of which nearly 200 supply to both domestic and global operations. The company has already awarded contracts to them for components worth approximately US$ 500 million. GM has a Supplier Footprint Optimization team in Bangalore, which works with Indian suppliers to improve their capability.
“Our target is always 100 percent localization, in order to be cost effective. We are constantly working towards increased local content in the products,” said Karl Slym, President and MD, GMI. With the exception of a couple of precision parts and vehicle electronics, the rest is sourced locally.
GM India is investing US$ 500 million to expand existing capacity and to introduce new product lines at its Halol and Talegaon facilities.
