General Motors India sold 4,320 Chevrolets in February 2015, a 23 percent drop compared to the 5,607 units sold during February 2014.
In typical GM India fashion, the automaker attributes the drop to macro factors outside of its control.
“The discontinuation of excise duty benefits has impacted the industry during the last two months. Even the budget announcements are not enough to revive the consumer sentiment,” said Paramu Balendran of General Motors India communications.
“Going forward, car sales will be driven mainly by new entries and we expect the market to gain only momentum if interest rates are reduced in phases to facilitate consumer spending since over 85% vehicles are purchased through financing,” added Mr. Balendran.
GM India will introduce the Trailblazer SUV and Spin MPV in 2015 and 2016, respectively. The move is generally expected to make the automaker more competitive in the country and boost its sales.