GM to shift production of next-generation Chevrolet Cruze from Korea to Europe

Article by Anita Panait, on November 8, 2012

General Motors will not produce its next-generation Chevrolet Cruze compact car in Korea, raising speculations that the carmaker may shift production to Europe to raise the efficiency at its Opel unit. A spokesman for GM Korea confirmed statements by local labor union officials that GM will not build the next Cruze in South Korea.

Sergio Rocha, president and chief executive of GM Korea, recently divulged the decision to its South Korean union, union spokesman Choi Jong-hak said. According to Choi, Rocha disclosed that the revamped Cruze will be produced in five regions, including Europe, the United States and China. GM currently builds the Cruze in the US, China, Brazil and South Korea, as well as Russia, albeit in smaller numbers.

GM’s decision is part of its efforts to better manage its global manufacturing footprint, according to GM Korea spokesman Park Hae-ho. The present Cruze model accounts for 50 percent to 60 percent of the total output, pegged at around 260,000 vehicles, GM Korea's plant in Gunsan, Park said. GM Korea’s Gunsan plant also produces the Chevrolet Orlando sports utility vehicle and Lacetti small car.

The next-generation Cruze is set to be the first vehicle to use a GM global platform, which could underpin 2.5 million compact sedans and crossovers by 2018, sources previously told Reuters. The next-generation Cruze will be rolled out in late 2014. In December 2011, GM chief executive Dan Akerson put forward the idea that the cost-cutting at its Opel unit could be complemented with shifting output from Asia to Europe to make its plants in the continent more efficient.

If you liked the article, share on:

Comments

Recommended

Hyundai is introducing a new 2018 Accent that is not only wider and longer, but is now also sporting a new look that is more serious than the previous model....
by - February 20, 2017
Fans and enthusiasts of the BMW M2 in the United States could now rejoice. This comes as their favorite BMW M2 is getting a limited edition version as prepped by...
by - February 20, 2017
Carmakers usually leave us thirsty for information on whether they would introduce a new, refreshed or face-lifted vehicle and on when they intend to launch it. There are reasons for...
by - February 20, 2017
Cadillac’s CT6 full-size prestige-luxury sedan is still somewhat new. It has been offered to the global auto market for two model years – 2016 and 2017. But for those who...
by - February 19, 2017
In many industries, it is the rivalries that make things exciting. In basketball for example, there is the well-known rivalry between the Los Angeles Lakers against the Boston Celtics. For...
by - February 19, 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