GM will suspend sales in India and operations in South Africa

Detroit-General Motors plans to suspend marketing of automobiles in India until the end of this year and sell operations in South Africa, in the latest step to focus on strategy and capital engengaria efforts in more lucrative markets.
The Detroit-based automaker reported on Thursday that it will spend 500 million dollars in the second quarter to restructure operations in India, Africa and Singapore.
GM cancels most of the 1 billion dollar investment planned to construct a new line of low-cost vehicles in India.
The measure is expected to generate savings of 100 million dollars a year in a global business sector that last year lost about 800 million dollars, according to the company.
In an interview with Reuters, the Chairman of GM, Dan Ammann, said the latest restructuring measures – and a series of decisions taken earlier to leave unprofitable markets – will enable the company to focus more capital, and time engineering efforts on business expansion in places where it is strong, including China and North America.
GM also announced that it is investing approximately of 600 million dollars a year in the development of vehicles and transport services.
As well as the rival Ford Motor, GM concluded be increasingly expensive to compete in emerging markets outside China. The automaker sold only 49000 units in India and in South Africa last year.