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General Motors announces closure of operations in Colombia and Ecuador

Imagen tomada de Chevrolet - Facebook.
Imagen tomada de Chevrolet - Facebook.

Colombia and Ecuador. The U.S. automaker announced the closure of both operations as part of its shift towards the production of next-generation vehicles.

As indicated by General Motors in the press release, manufacturing will cease at the Colmotores plant in Colombia as of Friday, April 26, while, in Ecuador, it will cease at the end of August of this year.

This decision puts around 800 workers in the line of fire at the manufacturing plant in Colombia.

According to its spokesman, the manufacturing plant in Colombia was operating at 9 percent of its capacity, General Motors said, while its operation in Ecuador was at 13 percent.

The plant's closure comes amid a 14-year decline in new vehicle sales in 2023 compared to 2022 in Colombia, according to a report released by two industry groups in January.

The spokesperson said the change is "to ensure that the company is better positioned to offer its most advanced vehicles and technologies to customers. The operations will transition to a national merchandising model, supported by an exceptional customer experience and after-sales services."

This news directly affects the auto parts market as it means a considerable reduction in the market players in Latin America.

However, the company made it clear that, although they are withdrawing their operations from both countries, they will continue to have a presence through Chevrolet and its strong network of companies and businesses, such as GMICA-Isuzu, GM Financial and Chevyplan.


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