View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
March 10, 2010

SOUTH KOREA: GM Daewoo sees return to profit

GM Daewoo said it would return to profit this year and aims to export 1.6m vehicles, as well as increase domestic sales by 20%.

GM Daewoo said it would return to profit this year and aims to export 1.6m vehicles, as well as increase domestic sales by 20%.

The South Korean unit of General Motors is targeting double-digit sales growth in 2010 according to local reports.

GM Daewoo benefited from a US$450m injection from its parent last year and president and chief executive Mike Arcamone said: “We’re self-sufficient. We are generating cash and don’t need a line of credit.”

The company will use “aggressive” sales techniques, improved dealer networks and reduced structural costs to achieve the profit.

Arcamone said GM Daewoo – the third largest automaker in sales terms – did not require creditor support and that its liquidity position was “very solid.”

GM Daewoo is responsible for GM’s small car design and engineering and is seen as crucial to the carmaker’s plans to sell more vehicles in emerging markets and meet tougher fuel economy standards in the US.

Much of its output is sold under the Chevrolet brand. Other local reports said it was considering dropping the Daewoo brand in Korea, too.

Topics in this article: ,
NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Monday. The industry's most comprehensive news and information delivered every quarter.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Just Auto