General Motors (GM) has taken numerous rigorous decisions at once. The most radical is the withdrawal of the giant from Australia and New Zealand. The curtain therefore falls for Holden.
GM takes a series of decisive measures after the manufacturer has critically examined its global sales markets. In 2015 GM already set out a strategy to strengthen its core activities and thereby save costs considerably. The sale of Opel and Vauxhall was a big part of this strategy at the time. Now it is time for the next rigorous step.
This is because the Americans will be phasing out all sales, design and production activities in Australia and New Zealand this year. In 2021, the Holden brand will be permanently removed. GM’s CEO states: “I have often said that we will make the right choices, even if it is very difficult. This is one of those times. ”
Mark Reuss, president at GM, says he has investigated a number of options to keep Holden alive. However, none of these options was profitable. Holden, which for many years elaborated on Opel designs, was already dusted off because it was no longer allowed to use the German construction. Around 600 employees will be put out on the street after the new decision. Reuters says Australian Prime Minister Scott Morrison is disappointed in GM’s decision, but it is no big surprise. Holden was born in 1924 and has joined forces with GM since 1931.
In addition to an end to the Australian / New Zealand adventure, GM is also withdrawing from Thailand. The factory in Rayong, in the name of GM, is taken over by Great Wall Motors after several discussions. At the end of 2020, GM ceased domestic sales in Thailand. In the Asian country, the new decision could be felt by around 1,500 people.