05 December 2013

General Motors is to drop its Chevrolet brand in Europe by the end of 2015, according to a statement issued today by GM vice chairman, Steve Girsky.

The move is the latest effort by GM to turn around its European operations and to focus its resources on reviving the Opel and Vauxhall brand.

Chevrolet will no longer have a mainstream presence in western and eastern Europe due to a challenging business model and the difficult economic situation in Europe, GM said.

“We believe this is a win for all of our brands here in Europe and around the globe as GM will benefit from a stronger Opel and Vauxhall,” Mr Girsky was quoted as saying. To pull Chevrolet out of Europe “will help us to accelerate progress in the region,” he added.

“Basically [we will] shut away the 1% share Chevrolet has in Europe. The financial results have been unacceptable,” Mr Girsky said on a call with journalists.

It is understood the UK head office was notified of the decision at 5am today [5 December 2013] and that retailers are now being told of the company’s plans. A spokesman for Chevrolet confirmed that it had, and is using, a contingency plan for this situation.

Three quarters of the UK’s 90 Chevrolet franchise holders are twinned with Vauxhall, acccording to the spokesman. He also added that Chevrolet would honour contractual obligations and continue to supply cars to retailers.

A GM spokesperson confirmed: “The Chevrolet brand has been in decline for a couple of years. This decision has no impact on GM’s focus on Europe and it is 100% behind Opel and Vauxhall.

“Customers in the UK and Europe will be looked after. Parts will be maintained for ten years. Servicing will be in place for the next two years and during that time we will make arrangements for Vauxhall and Opel dealers to take on servicing responsibilities for Chevrolet.”

New Chevrolets will continue to be sold in Europe for the next two years in order to utilise remaining stock and production.

Tags: Chevrolet, GM, Opel, Steve Girsky, Vauxhall