GM has just publicly announced its financial results in South Korea for the past year and confirmed that aims to become a sustainable business in the country by 2023.
The automaker’s South Korean subsidiary performed well financially in calendar year 2022, posting an operating profit of 276.6 billion won (about $209.07 million USD at current exchange rates) and a net profit of 210.1 billion won ($150.8 million USD). This represents a significant turnaround for GM Korea’s business from losses in prior years, and reinforces the 2023 sustainability goal.
All-new 2024 Chevy Trax
“In Korea, GM continues to transform our business, delivering on the commitments we made in 2018 and reducing our annual deficit,” said President and CEO of GM Korea, Roberto Rempel. “Our task now is to continue to strengthen the fundamentals of the business, to enable our operations to deliver sustainable performance regardless of external factors. Our team is focused on building solid business again this year by implementing flawless launch and seamless delivery of the Trax Crossover, along with continuous cost-reduction efforts,” he added.
GM Changwon plant
As announced when presenting its business strategy for 2023 in South Korea, GM will focus on carrying out successful launches of next-generation vehicles manufactured in the Asian country by maximizing its local production capacity, reducing operating costs and improving competitiveness, expanding the portfolio of imported vehicles and opening new profitable businesses in the South Korean market.
GM Korea completed the first of these steps in the first quarter of the year with the successful commercial rollout of the all-new 2024 Chevy Trax, the brand’s new entry-level crossover that entered mass production on February 24th at the GM Changwon plant and which has registered an explosive demand both in North America and in the domestic market of South Korea. In fact, the 2024 Trax is a fundamental part of the company’s success.
In addition, the automaker anticipates that it will complete a production ramp-up to an annual installed capacity of 500,000 units at its two plants in South Korea during this second quarter of the year – allowing it to capitalize on high global demand for the 2024 Chevy Trax and 2024 Buick Envista. At the same time, GM Korea is advancing with its operating cost reductions and the arrival of new imported products in the country such as the GMC Sierra, OnStar and ACDelco.
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Comment
HM can’t afford loosing Korean r&d after loss of Russelheim & considering situation with China. Selling a mix of GM vehicles at Korean Chevrolet dealers is key. I’m convinced Buick can compete with Hyaindai