Chevrolet’s pullout from Europe will resolve brand overlap with Opel

Article by Christian A., on December 9, 2013

While General Motors’ decision to withdraw Chevrolet from Europe could be considered as a major setback to its goal of making the brand into a global powerhouse, it allows the US carmaker to put behind a costly strategy of force-feeding Chevys into a market that seemed little interested on those units. The decision would also terminate a current overlap between Chevrolet and Opel/Vauxhall, in which the US brand has been getting the shorter end of the stick.

In fact, Opel/Vauxhall outsells Chevrolet in Europe, 6 vehicles to one. When GM decided in 2005 to launch Chevrolet in Europe, it could be seen as a contingency plan in case Opel is sold or is on the brink of collapse.

However, Opel is showing a glimmer of light and GM’s decision to drop Chevrolet in Europe seems to affirm what GM executives have been saying for nearly two years – that they will stick with Opel for the long haul. “This lets them focus more on Opel and Vauxhall, while abandoning a brand strategy with Chevrolet that I don’t think many people bought into,” according to Morningstar analyst David Whiston.

GM said in a statement that by 2016, it “will no longer have a mainstream presence in Western and Eastern Europe.” GM, however, will still sell iconic Chevrolets, like the Corvette, throughout most of Europe. Chevrolet will also continue to sell a broad lineup in Russia and other countries like Ukraine, Kazakhstan and Uzbekistan.

On the other hand, Cadillac is “finalizing plans” for expanding its distribution network” in Europe in the next three years in advance of “numerous product introductions,” according to GM. The move “will benefit from a stronger Opel and Vauxhall and further emphasis on Cadillac,” said GM chief executive Dan Akerson in a statement.

Topics: chevrolet, europe, opel

If you liked the article, share on:

Comments

Recommended

Imagine a sports car morphing into an SUV. Chevrolet initially revealed the FNR Concept at the previous Shanghai Auto Show in 2015. For this year, Chevy once again graces the...
by - April 22, 2017
From the moment FCA kicked off with its 3-month-long ad campaign until the day it unveiled the new Dodge Challenger SRT Demon, folks have been guessing what the exact figures...
by - April 22, 2017
Some people may think Audi Sport is a new company but it is in fact the motorsport division of Audi combined with the best of what Quattro GmbH can offer....
by - April 21, 2017
It is not a big secret that premium customers in China have a strong penchant for luxury cars with a spacious interior. In particular, premium customers in China purchase luxury...
by - April 21, 2017
Chinese automaker Chery did not leave a good impression last time they were in Australia - due to its cheap design. But this year, Chery showcases its new Tiggo Sport...
by - April 21, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries