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Photo courtesy of Yonhap News |
[Alpha Biz= Kim Jisun] General Motors’ South Korean subsidiary, Korea GM, announced plans to invest a total of USD 300 million (approximately KRW 440 billion) next year to strengthen its domestic production facilities and establish South Korea as a global engineering hub. The company also plans to launch GM’s premium brand, Buick, in the Korean market next year. The announcement marks a strategic response to recent speculation about GM’s withdrawal from South Korea.
Hector Vizcarra, President and CEO of Korea GM, unveiled the management plan on the 15th during the “2026 Business Strategy Conference” held at GM’s Cheongna test track in Incheon. Amid domestic sales declines, asset sales, and closures of company-operated service centers this year—which fueled rumors of GM’s exit—the company took the unusual step of announcing a domestic business expansion plan to calm market concerns.
Vizcarra stated, “We will maximize operations at our Korean plant, which has an annual production capacity of up to 500,000 vehicles, and position it as a key global export hub.” He added, “We will strengthen our full-cycle capabilities, from vehicle design and engineering to production and sales, expand our next-generation internal combustion and electric vehicle portfolios, and introduce advanced driving technologies for Korean customers to grow together with the market.”
He emphasized, “We will continue investing in Korea’s production base to strengthen long-term competitiveness. GM’s commitment to Korea remains unwavering, and we are more prepared than ever for a sustainable future.”
Additionally, Vizcarra noted that the company will maximize production capacity to meet ongoing global demand for sports utility vehicles (SUVs), including the Chevrolet Trax Crossover. The Trax Crossover was last year’s best-selling small SUV in the U.S. market.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
