General Motors India said it will localise its newly launched Beat by 90 per cent by the end of this year. Currently, only 60 per cent components of this car is manufactured in India. Recently, the company tied up with Chinese auto major - SAIC Motor Corp - for procuring cheaper components,

The Indian arm of crisis-ridden US auto major General Motors has put the localisation of Beat on the top of its agenda to cut costs and expand its market share. GM India at present stands on the fringes of the Indian auto market, with a four per cent market share.

Currently, only Maruti has been able to achieve around 90 per cent of localisation for its models.
The company was recently in the news for tying with Chinese auto major SAIC Motor Corp. for sourcing auto components, which increased fears of a back door entry of Chinese auto firms in the rapidly growing Indian market.

In order to tap the growing small car market, GM India president and MD, Mr. Karl Slym, said the company will roll out its first diesel car, diesel variant of Beat, in India by December. "Our power-train facility at Talegaon plant is in full swing. We expect to roll out a diesel car from this facility by the end of this year," Mr. Slym said. The petrol variant of Beat starts at Rs. 330,000 (US$ 7,221) (ex-showroom price, Hyderabad).

The company decided not to increase car prices for another two months. Mr. Slym, said, "Commodity prices have shot up tremendously but now, there are a lot of options available to the customers in the market. Considering this, we have ruled out any increase in the introductory prices of our cars for two months."

A Maruti Suzuki official said there are cost pressures on the company but we are yet to decide over any increase in the car prices.