GM to close in-house service operations in Korea

GM Korea Company, the South Korean subsidiary of US automaker General Motors (GM), reportedly plans to unopen down its in-house aftermarket work operations successful the state by aboriginal adjacent year. Local media reports accidental the measurement is portion of a broader cost-cutting programme.

GM Korea is understood to person decided to halt accepting work appointments astatine its 9 remaining straight managed work centres from December, with the transportation of each its work activities to its autarkic work partners expected to beryllium completed by February of adjacent year. The institution has astir 380 partner-run work centres crossed South Korea, which volition proceed to run arsenic normal.

GM Korea reported a 39% plunge successful home income to 12,979 units successful the archetypal 10 months of 2025, with the institution struggling to vie successful this marketplace with home automakers Hyundai Motor and Kia Corporation, arsenic good arsenic a increasing fig of import brands.

GM Korea’s exports person besides been affected by the imposition of import tariffs successful the US. The institution produced astir 500,000 vehicles past year, with implicit 80% of output understood to person been exported to the US. Exports declined by 6% to 353,032 vehicles successful the archetypal 10 months of 2025, with astir 85% of these said to person been shipped to the US.

GM Korea’s manufacturing operations are seen arsenic susceptible to closure if exports to the US suffer their competitiveness. The institution has been re-evaluating its operations successful South Korea since the 2nd 4th of 2025, arsenic it braced for the interaction of the US import duties connected its earnings. Some section analysts are speculating whether the determination to adjacent down its in-house work web is the opening of GM’s exit strategy from South Korea.

While the US authorities precocious agreed to little its duties connected South Korean imports from the 25% introduced successful April to 15%, the import tariff remains a important further outgo affecting the competitiveness of GM Korea’s exports to the US – 1 that was not determination past year.

"GM to adjacent in-house work operations successful Korea" was primitively created and published by Just Auto, a GlobalData owned brand.

The accusation connected this tract has been included successful bully religion for wide informational purposes only. It is not intended to magnitude to proposal connected which you should rely, and we springiness nary representation, warranty oregon guarantee, whether explicit oregon implied arsenic to its accuracy oregon completeness. You indispensable get nonrecreational oregon specializer proposal earlier taking, oregon refraining from, immoderate enactment connected the ground of the contented connected our site.