Will GM Korea quell exit rumors with new vehicle production?

General Motors (GM) Korea could localize production of some new strategic vehicles — co-developed with Hyundai Motor — to sustain its operations here amid unceasing rumors about a possible market exit, experts said Tuesday. Last week, the two global carmakers made headlines with their plan to launch five jointly developed new cars for Latin and North America by 2028, though the production site remains undecided. The timeline coincides with the deadline for GM Korea’s “mandatory” business operations under an earlier agreement with the Korean government. In 2018, the government provided 810 billion won ($582.8 million) in exchange for the carmaker’s commitment to maintain operations in Korea through the end of 2028. Auto experts did not rule out the possibility of the company initiating production of some of the new models in Korea. “GM Korea’s operating profit to sales ratio — a key barometer determining profitability of a firm — remains at a high level, so the carmaker’s headquarters may consider an option to localize production for possible hybrid models for its suWeiter zum vollständigen Artikel bei Korea Times Weiter zum vollständigen Artikel bei Korea Times