General Motors has decided to cease its vehicle sales operations in India by the end of 2017, following a drop in demand for its vehicles in recent times. In a surprise move, the automaker finally called it quits despite a promising product portfolio in line for the future.

A couple of years ago, GM had announced that it will invest USD 1 billion to improve its dismal sales to show its commitment for India. The US automaker was even planning to launch the next-generation Beat and Beat Essentia, compact sedan this-year along with a compact SUV rolling out next-year. The future product portfolio looked promising, after all experts concluded that the cars will still bring in decent sales volumes, despite the companies terrible record here in the past.

The current cars in the Chevrolet lineup are the Beat, Cruze, Enjoy, Spark, Tavera, and Trailblazer with none of them being able to make a statement, except the Tavera, which found itself a niche as a taxi. Chevrolet, an arm of Global Automaker Giant, General Motors has had a disastrous run in India so far and has a market share of less than 1% here currently. Meanwhile the existing Chevrolet car will still get after-sales support to the respected customers.

General Motors arrived in India in 1995, being one of the first companies to enter the Indian market, with Daewoo and Opel brands, and later they replaced it with US automaker Chevrolet in 2005 which has been slow in product launches that has resulted in tremendous losses for the automaker. GM will now use its Talegaon plant in Maharashtra as an export hub to ship the new Beat (Spark globally) to Mexico and Central South American markets.

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Also see: Production of 3 Chevrolet models Tavera, Sail and Enjoy to end by April-2017