General Motor "concerning message" to potential future investors on Maharastra's stance

Maharashtra government's move to block General Motors (GM) from shutting a plant and exiting India defies the state's business friendly image and sends a "concerning message" to potential future investors, the United States automaker said on January 22.

General Motors' comments came after earlier this week Maharashtra rejected their application to cease operations at its plant in the state amid protests by workers who demanded GM continue production or keep them on the payroll indefinitely, according to local media.

The decision runs counter to Maharashtra's business-friendly reputation, a GM spokesman said in a statement. "It sends a concerning message to any potential future investors who want to bring jobs and investment to the state."

GM stopped selling cars in India, the world's second most populous nation, at the end of 2017 after years of low sales. It sold one of its two factories in the country to China's SAIC Motor Corp and continued to build vehicles for export at its second plant until Dec. 24.