GM Daewoo is eyeing up small businesses in the UK with the launch of a new strategy to boost fleet sales.

Andy Carroll, managing director of the new company formed in November 2002, said many of GM Daewoo's 75 dealers would be fleet specialists and experienced in dealing with local businesses.

He said a raft of new products would help the company win new business as it targets a 1% share of the UK car market, and ideally would like to see up to 100 dealers appointed.

GM Daewoo was set up as a company in October 2002, with the UK arm beginning a few weeks later. With the Matiz city car and Tacuma small-MPV left over from the former Daewoo company, the new business launched a supermini called the Kalos in the UK at the beginning of the year, and will introduce its new Nubira lower-medium saloon next month.

Carroll said GM Daewoo would share some dealer sites with General Motors-owned Vauxhall and Saab, as well as other brands, and rely on the expertise some dealers are able to provide for targeting small fleets.

He said: 'In the past one of Daewoo's weaknesses has been that our engines have not been particularly good on fuel consumption and carbon dioxide emissions. The engines in the new Nubira are much more competitive and we were talking to CAP and Glass's Information Services long before the introduction of the car.'

The company will also launch a five-door hatchback based on the Nubira, as well as a Nubira estate, along with a three-door version of the Kalos supermini.

There will also be a sport utility vehicle (SUV) inspired by the Scope concept car seen at this year's Geneva Motor Show.

GM Daewoo had also been conducting a search for suitable diesel engines for its range and after considering a number of options, is on the verge of signing on the dotted line for the GM-Fiat 1.3-litre and 1.9-litre common rail diesels, but expects it to be two years before they arrive in a Daewoo.

GM Daewoo Europe chief Hardy Spranger said the SUV would be the most important vehicle to have the new diesel engine and expects it to be available late in 2005.