GM-Daewoo has said that it will become part of so-called ‘New GM’ as the parent company proceeds with its Chapter 11 filing in the US.
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“GM-Daewoo’s vehicle development activities, including GM’s global mini and small car programs based at GM Daewoo, are continuing as planned,” GM-Daewoo President and Chief Executive Michael Grimaldi said in a statement.
All of GM Daewoo’s operations in Korea and overseas subsidiaries, including Vietnam manufacturing operations (VIDAMCO) and Chevrolet-Europe, as well as GM Korea will also belong to New GM, said the statement.
But Dow Jones reported that a union spokesman had expressed concern when he said “the agreement that small cars will also be produced in the US may threaten the status of GM-Daewoo as the global manufacturing base of small cars.”
GM plans to be responsible for 70% of its global production volume of mini and small cars, including the Lacetti Premiere sedan, in the US by 2013, said the spokesman who declined to be named.
