While GM is struggling in North America, it's growing elsewhere
#1
Moderator Alumnus
Thread Starter
Join Date: Oct 2000
Location: Washington DC (NOVA)
Age: 52
Posts: 16,399
Likes: 0
Received 8 Likes
on
8 Posts
While GM is struggling in North America, it's growing elsewhere
Offshore, GM soars with Chevy brand; GM Daewoo boosts sales, production - - By JASON STEIN | Automotive News - - Source: Autoweek
DETROIT -- Here's what was missed in the news about General Motors' distressed brands and sluggish U.S. sales: While GM sliced third-quarter North American production by 100,000 units, it increased Asian production forecasts by 100,000 units.
GM sales in Europe, Asia, Africa and South America have grown this year. And its engine for growth is Chevrolet, the venerable high-volume brand that has enjoyed a rebirth overseas.
While GM is trimming its product lineup for slow-growth brands such as Buick and Pontiac, it has expanded the Chevrolet line. The automaker has rebranded Daewoo-built cars and trucks as Chevrolets, and those vehicles are finding a market overseas.
From January through April, Chevrolet sold nearly 1.4 million vehicles worldwide, a year-to-year increase of 8.2 percent. GM Daewoo Auto & Technology Co. "has provided a terrific source of product development capability that we really need," GM Chairman Rick Wagoner said at an analyst meeting this year.
Daewoo Motor Co. Ltd. was a bargain for GM and other investors. In 2002, GM spent just $250 million to take over the principal assets of the bankrupt Korean automaker.
Since then GM already has spent $1 billion to beef up Daewoo's product development and has earmarked an additional $2 billion for that purpose.
GM Daewoo expanded its engineering and design staffs and has 1,800 engineers and 80 designers, Ki Joon Yu, vice president of engineering for GM Daewoo, told Automotive News last fall.
With its bigger engineering staff, the Korean automaker will help GM's U.S. engineers redesign the next-generation Saturn Vue and Chevrolet Equinox SUVs. GM Daewoo also will have a chance to engineer GM's Gamma architecture, which is the basis for the Opel Corsa.
Here's how Chevrolet is doing in each of its major markets:
>> In Europe, Chevrolet sales rose 24.5 percent through April. The Chevy Kalos and Aveo are enjoying especially heavy demand in Poland, Russia and the Ukraine - price-sensitive markets that value low-priced transportation.
The brand also has found a niche in more prosperous western Europe. "Everything is growing fast, and it's all due to Chevy's startup in those places," says GM Europe spokesman Marc Kempe.
GM sales in Europe, Asia, Africa and South America have grown this year. And its engine for growth is Chevrolet, the venerable high-volume brand that has enjoyed a rebirth overseas.
While GM is trimming its product lineup for slow-growth brands such as Buick and Pontiac, it has expanded the Chevrolet line. The automaker has rebranded Daewoo-built cars and trucks as Chevrolets, and those vehicles are finding a market overseas.
From January through April, Chevrolet sold nearly 1.4 million vehicles worldwide, a year-to-year increase of 8.2 percent. GM Daewoo Auto & Technology Co. "has provided a terrific source of product development capability that we really need," GM Chairman Rick Wagoner said at an analyst meeting this year.
Daewoo Motor Co. Ltd. was a bargain for GM and other investors. In 2002, GM spent just $250 million to take over the principal assets of the bankrupt Korean automaker.
Since then GM already has spent $1 billion to beef up Daewoo's product development and has earmarked an additional $2 billion for that purpose.
GM Daewoo expanded its engineering and design staffs and has 1,800 engineers and 80 designers, Ki Joon Yu, vice president of engineering for GM Daewoo, told Automotive News last fall.
With its bigger engineering staff, the Korean automaker will help GM's U.S. engineers redesign the next-generation Saturn Vue and Chevrolet Equinox SUVs. GM Daewoo also will have a chance to engineer GM's Gamma architecture, which is the basis for the Opel Corsa.
Here's how Chevrolet is doing in each of its major markets:
>> In Europe, Chevrolet sales rose 24.5 percent through April. The Chevy Kalos and Aveo are enjoying especially heavy demand in Poland, Russia and the Ukraine - price-sensitive markets that value low-priced transportation.
The brand also has found a niche in more prosperous western Europe. "Everything is growing fast, and it's all due to Chevy's startup in those places," says GM Europe spokesman Marc Kempe.
#2
Moderator Alumnus
Thread Starter
Join Date: Oct 2000
Location: Washington DC (NOVA)
Age: 52
Posts: 16,399
Likes: 0
Received 8 Likes
on
8 Posts
And I bet that's one of the reasons why we did not see GM's stock go into the teens recently.
When I was in Europe in January, Chevy ads were running "every 5 minutes" on TV. Billboards everywhere. It was evident the marketing push was very significant.
When I was in Europe in January, Chevy ads were running "every 5 minutes" on TV. Billboards everywhere. It was evident the marketing push was very significant.
#3
Moderator Alumnus
Thread Starter
Join Date: Oct 2000
Location: Washington DC (NOVA)
Age: 52
Posts: 16,399
Likes: 0
Received 8 Likes
on
8 Posts
Daewoo Motor Co. Ltd. was a bargain for GM and other investors. In 2002, GM spent just $250 million to take over the principal assets of the bankrupt Korean automaker.
A reminder that GM has made a lot of great strategic moves also
#5
The sizzle in the Steak
Good for GM...but if you want to survive you have to successfull in the U.S.
#6
Not Asian
I heard the reason why it's doing so well in Europe is because of the new exec in charge over there. I hear is as a good report with the workers/union.
They are also increasing sales in Asia and SA.
They are also increasing sales in Asia and SA.
Trending Topics
#8
Not Asian
Originally Posted by chungkopi
i heard that saab's SUV's will built in seoul, is that true?
Thread
Thread Starter
Forum
Replies
Last Post
DerrickW
3G TL Performance Parts & Modifications
9
11-15-2015 05:52 PM
detailersdomain
Wash & Wax
3
10-09-2015 10:13 PM
Yumcha
Automotive News
1
09-25-2015 06:14 PM