GM Korea to cut prices after disappointing salesGM Korea, the Korean unit of General Motors, said Tuesday it has cut the prices of mainstay models in an effort to revive lackluster sales.
Starting Tuesday, GM Korea revised the prices of its major models — such as the Impala sedan, Trax, and Equinox sport-utility vehicles — by up to 3 million won ($2,700).
The company expects its “customer-focused pricing approach” to strengthen the position of those key Chevrolet vehicles in the Korean market, Cesar Toledo, vice president in charge of sales, customer care and aftersales at GM Korea, said in a statement.
“Winning more customers, growing market share and sustaining trust in our brand are all crucial ingredients in building a sustainable GM Korea for the long term,” he said.
GM Korea struggled with weak sales in Korea due to a lack of new models and labor-management disputes over jobs last year.
In the January-November period, GM Korea’s sales fell 12 percent to 420,447 vehicles from 479,058 a year earlier. Sales figures for December are set to be released today.
To drive up sales, the carmaker plans to introduce 15 vehicles into the local market over the next five years. It has launched the U.S.-made Equinox and the upgraded Chevy Spark since June. The Traverse SUV will be the next model to be added to its lineup.
GM holds a 77 percent stake in GM Korea, with the state-run Korea Development Bank and SAIC Motor controlling 17 percent and 6 percent, respectively.