General Motors (GM) has announced the discontinuation of vehicle assembly operations in Ecuador and Colombia starting at the end of August. The decision is part of GM’s plan to transform its business in both countries, focusing on national vehicle marketing and after-sales service companies.
The assembly plants in Ecuador and Colombia, operated by GM OBB and Colmotores respectively, will be dismantled as part of this transformation. GM stated that the move is intended to support the launch of new generation vehicles and a world-class portfolio.
In Ecuador, GM currently holds a 51% share of vehicles assembled by brands, as reported by the Chamber of the Ecuadorian Automotive Industry (Cinae). Despite the discontinuation of assembly operations, GM assured that it will maintain its presence in Ecuador and Colombia through its Chevrolet brand, GMICA, Chevyplan, dealer network, and Onstar connectivity services.
Furthermore, GM emphasized that popular models like the Chevrolet D-Max truck will still be available in the market throughout 2024. The D-Max is currently the best-selling model in Ecuador, with 1,717 units sold from January to March.
The announcement of GM’s restructuring in Ecuador and Colombia comes at a time when the automotive industry is experiencing significant changes. The decision reflects GM’s strategic focus on enhancing its market presence and offering a wider range of vehicles and services to customers in the region.