GM's insists its turnaround efforts are now starting to work

The comments were made by the firm's vice chairman Bob Lutz, who said the company would bounce back through a stronger range of vehicles.

His comments come as GM continues a cost-cutting program aimed at returning the US giant to profitability.

GM has seen sales fall in its core US market in the face of higher fuel costs. It has also cut jobs in Europe.

GM recently announced that 900 positions would go at its UK Vauxhall operation.

'More positive place'

"We will get this thing turned around and we'll do it on the back of the great cars and trucks we have and the ones we'll be introducing at an incredible pace in the near future," said Mr Lutz.

"The way the world is seeing GM is coming from a very negative place to a slightly more positive place and we think as we roll out more new products that momentum is going to build.

"We have the insider's view and we know what is coming over the next three years and it is going to be an array of products that is going to be best-in-class. That's a focus we lost for about 30 years."

GM's share price has dropped by more than a third over the past two years.

In addition to falling sales, it has also been hit by higher pension and healthcare costs.

Now aiming to close 12 factories and cut more than 30,000 jobs worldwide, the firm has remained in the red for six straight quarters.

However, it has managed to start trimming the losses - for the first three months of 2006 it lost $323m (�181m) compared to the $1.3bn loss for the same period in 2005.