GM Korea Co., the South Korean unit of General Motors Co., said Tuesday that it has cut the prices of mainstay models in an effort to revive lackluster sales.
Starting Tuesday, GM Korea slashed the prices of its major models, such as the Impala sedan and the Trax and Equinox sport-utility vehicle, by up to 3 million won ($2,700), the company said in a statement.
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 after-sales at GM Korea, said in the 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 Asia’s fourth-biggest economy due to 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 Wednesday.
To drive up sales, the carmaker plans to introduce 15 vehicles into the local market over the next five years. Since June it has launched the US-made Equinox and the upgraded Chevy Spark minicar.
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. (Yonhap)