GM Korea held its "GM Korea 2026 Business Strategy Conference" at the Cheongna Proving Ground in Incheon, where executives highlighted the country's pivotal role in the Detroit automaker's global supply chain. The company said it would invest about $300 million next year and launch at least four new models.
The announcement comes as GM Korea navigates the fallout from U.S. President Donald Trump's tariff policies, which currently impose a 15 percent levy on vehicles imported from South Korea. The company shipped about 84 percent of its production to the United States last year, making it heavily exposed to trade friction between Washington and Seoul.
Executives sought to emphasize the strategic value of Korean operations. Sport utility vehicles manufactured in South Korea captured 36.7 percent of the U.S. small SUV market in October and accounted for 11.8 percent of GM's total American sales, the company said. Half of U.S. buyers who purchased the Chevrolet Trax Crossover were new GM customers, pointing to the brand's ability to attract fresh clientele.
"Over the past two decades, GM has produced 13.3 million vehicles in Korea and sold 2.5 million in the domestic market, establishing GM Korea as a key part of the nation’s automotive industry," Hector Villarreal, CEO of GM Korea, said at the conference.
"Moving forward, we will strengthen our full-cycle capabilities in Korea from vehicle design and engineering to manufacturing and sales, while expanding our product portfolio of next-generation ICE vehicles and EVs, introducing advanced driving technologies for Korean customers, and growing together with the Korean market."
The automaker also signaled renewed focus on the domestic market, where sales have cratered.
GM Korea sold 13,952 vehicles in the country between January and November, a 39.4 percent plunge from a year earlier. Monthly sales dipped below 1,000 units in November.
To revive its fortunes, the company plans to roll out three GMC models and one Buick vehicle next year, making South Korea the first market outside North America to carry all four GM brands.
Still, experts remain cautious. Sustained U.S. tariffs and tepid domestic demand could reignite exit speculation if conditions fail to improve. GM Korea said in May it would sell nine company-owned service centers nationwide and some facilities at its Bupyeong plant in Incheon, shifting to a partner-operated service network from next year.
reporter
Kim Dong-young
davekim0807@ajupress.com
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