According to Chevrolet's mother company, General Motors, the American car brand is the automotive industry's fourth largest in the world. That fact, however, isn't enough to discourage GM from removing the Chevrolet brand from the European market, "largely due to a challenging business model" and the region's current economic difficulties.
Instead, GM will concentrate on its Opel and Vauxhall brands for Europe while expanding the presence of its Cadillac luxury brand in the market. The Chevrolet brand, on the other hand, will be limited to "select iconic vehicles" like the Corvette.
"Europe is a key region for GM that will benefit from a stronger Opel and Vauxhall, and further emphasis on Cadillac," said GM Chairman and chief executive Dan Akerson. "For Chevrolet, it will allow us to focus our investments where the opportunity for growth is greatest. This is a win for all four brands. It's especially positive for car buyers throughout Europe, who will be able to purchase vehicles from well-defined, vibrant GM brands."
As a result of the Chevrolet brand's pullout in Europe, GM will instead increase the brand's focus in South Korea, which produces the majority of Chevrolet's portfolio in Europe, "as the company looks for new ways to improve business results in the fast-changing and highly competitive global business environment."
"We will continue to become more competitive in Korea," said GM Korea president and chief executive Sergio Rocha. "In doing so, we will position ourselves for long-term competitiveness and sustainability in the best interests of our employees, customers and stakeholders, while remaining a significant contributor to GM's global business."
Let's hope some of GM's focus on the Korean market spills over to the Philippines.