GM Korea dismissed rumors of withdrawal during a media briefing at its Changwon plant, reaffirming its commitment to local production as a small SUV hub. The company announced cumulative production of 2 million Trax Crossover and Trailblazer vehicles, with the factory operating at around 95% capacity year-round. It pledged a $600 million investment to bolster Korean operations.
CHANGWON, South Gyeongsang Province — GM Korea dismissed rumors of a potential exit from South Korea during a media tour and briefing at its Changwon plant on Tuesday. Asif Khatri, vice president of manufacturing at GM International Operations, said, "We will not engage in words, but we will respond to any rumors." He added, "We have very strong demand for the vehicles that we are producing here. We will also continue to improve our manufacturing facility."
The Changwon plant, opened in 1991, serves as a key export base for small SUVs with an annual capacity of about 280,000 units and roughly 3,500 workers. Backed by cumulative investments of 3 trillion won ($2.03 billion) from 2020 to 2023, it has reached 2 million units in combined production of the Chevrolet Trax Crossover and Trailblazer. In the U.S. last year, these models sold 422,792 units, capturing 43 percent of the small SUV market share.
In March, GM Korea announced a $600 million investment to upgrade facilities and solidify Korea's role as a global small SUV hub. Bang Sun-il, vice president of global purchasing and supply chain, noted that the company has built an industrial ecosystem worth 5.5 trillion won ($3.72 billion) annually with about 1,600 Korean partners. The firm stated that Middle East tensions have caused no disruptions to production or supply chains.
The Incheon and Changwon plants operate near full capacity with advanced automation, exporting around 410,000 vehicles annually, 85 percent to the U.S. Lee Dong-woo, GM Korea's vice president for production, said the plant's 95 percent utilization rate is a major strength, ranking among the highest globally within GM.
