General Motors (GM) has decided to suspend the export of certain U.S. vehicles to China, a move that comes as part of its efforts to restructure operations.
The automaker based in Detroit had previously utilized the Durant Guild, a “lifestyle platform” established in 2022, to facilitate the sale of specific U.S. models in China.
Last week, employees and dealers involved in GM’s China export initiative were informed of the suspension, as reported by Reuters.
According to GM, the Durant Guild served as a premium import platform for select products, accounting for less than 0.1% of the company’s total sales in China.
The company announced that the restructuring of the Durant Guild and subsequent optimization of GM China’s operations was in response to “significant changes to economic conditions.”
Before a recent agreement to lower tariffs for 90 days, U.S. goods entering China were subjected to duties exceeding 100%.
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The Durant Guild had launched two models last year, including the Chevrolet Tahoe and GMC Yukon, with the Tahoe deliveries commencing in March, as per the company’s statements.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| GM | GENERAL MOTORS CO. | 50.03 | -0.34 | -0.68% |
GM reiterated its dedication to the Chinese market, emphasizing its ongoing efforts to advance partnerships through joint ventures.
“To maintain sustainable business operations, we must prioritize strong execution, adaptability, and customer choice,” the company stated.
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In the first quarter alone, GM and its joint ventures recorded over 443,000 vehicle deliveries in China, following over 1.8 million total deliveries throughout the previous year.
Globally, GM reported deliveries of over 1.4 million vehicles in the first quarter, with 693,000 of those in the United States.
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During this quarter, GM achieved a total revenue of $44 billion, with a net income of $2.8 billion.
Reuters contributed to this report.
