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Decision time for GM in China: Stay, scale back or go

Livemint · 10m ago

Medial

- General Motors (GM) is struggling to regain its market share in China despite introducing new models, such as the electric Cadillac Lyriq. - GM's market share in China has shrunk, leading to calls for the company to scale down or withdraw from the Chinese market. - Foreign automakers, including Volkswagen and Toyota, are facing similar challenges in China as Chinese consumers are increasingly favoring local brands that offer advanced technology and competitive pricing. - GM's CEO, Mary Barra, has expressed the company's commitment to continue operating in China, despite the difficulties. The company has announced plans to restructure its business in the region. - To address the challenges in China, GM could consider closing factories, reducing the number of models, and establishing partnerships with domestic EV makers. - The shift to electric cars in China has been described as a "seismic shift," and GM acknowledges that it could have managed the EV transition better in the country. However, there is still potential for growth in the luxury market.