GM India eyes used car market

The pre-owned car market in India is getting glamorous by the day. According to reports, General Motors India is aggressively considering entering the pre-owned car business segment in India.

Maruti Udyog, Hyundai Motor India, and Ford India have already entered the pre-owned segment. The decision if implemented, will make GM India the fourth car manufacturer to enter this area on its own.

GM India’s planned foray into the segment is almost reaching the implementation stage. A decision will be taken within the next three months, said a report. In all probability, the pre-owned foray will happen this year itself. While the financial year 2005-2006 saw the pre-owned car market in India touch a figure of 8.8 lakh cars, a year later, during 2006-07, the market grew by 30 per cent, crossing sales of one million. The used cars market is estimated to be of the same size as that of the new cars market. Nearly 1 million cars change hands annually, according to the Society of Indian Automobile Manufacturers.

Meanwhile, another report said that German luxury car manufacturer Porsche has also entered the used car market and has sold 40 cars in last 18 months. Bentley has also drawn up plans to enter the pre-owned market, the report added.