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Officially Official: Chevrolet replaces Daewoo name in Korea
Thu, 20 Jan 2011
Chevrolet Camaro in Korea - Click above for high-resolution image
There once was a time when Daewoo was one of the biggest companies in South Korea. It was larger than both LG and Samsung, and second only to Hyundai. But these days the name is all but gone.
Pushing Back: GM expanding Chevrolet into Korea, Daewoo out
Thu, 29 Apr 2010Chevrolet Camaro goes to South Korea - Click above for high-res image
General Motors decided several years ago to begin heavily promoting Chevrolet as its global mainstream brand even in markets where its existing brands like Opel and Daewoo were a dominant force. Today, at the Busan Motor Show in South Korea, GM Daewoo president Mike Arcamone announced that the Camaro would lead the way in GM's efforts to market Chevrolet in South Korea.
For now at least Chevrolet and Daewoo-branded vehicles will coexist in the Korean market. However, while we were in China last week GM officials told us that the Daewoo brand, which has been somewhat tainted by past quality issues, would eventually be phased out in favor of Chevrolet. When the new Aveo launches next year it will likely be badged as a Chevrolet even though GM Daewoo is in charge of engineering the car.
REPORT: GM ups its ante in GM Daewoo
Sun, 25 Oct 2009GM Daewoo has four shareholders: GM, Korea Development Bank, Suzuki Motor Corporation, and Shanghai Automotive Industry Corporation. When GM Daewoo put out a rights issue, only one of the four took the bite: GM, which made it rain to the tune of $412 million and raised its stake from 50.9% to 70.1%.
Neither GM's move nor the non-interest of at least two other parties is surprising. SAIC is still gun shy about certain investments after the Ssangyong debacle, while Suzuki is more concerned with being courted by VW and the Kizashi's fate in the U.S. right now. It is GM that has every reason to strengthen its ties in Asia; after all, The General sold more cars in China last month than it did at home -- and with GM Daewoo.
Daewoo engineers small cars for GM, like Chevrolet's crucial acid test known as the Cruze, and last year, all told, GM Daewoo sold 1.9 million units. The financial infusion will be used for debts and to help the company's liquidity position.