Rus News Journal

Changes in strategy of General Motors

Admirers Geo Storm have received preneprijatnoe news

According to newspaper Wall Street Journal, the management of corporation of General Motors declared definitive refusal of plans of manufacture of cars Geo Storm in Japan. The undertaken step speaks unprofitability of manufacture of this model Japanese car factories from - for sharp growth of a course of yen.

Model Geo Storm was issued by the joint venture formed by General Motors and Isuzu Motors in Japan. During the current year manufacture of this model has been stopped in connection with exit Isuzu Motors from automobile business. After that possibility of cooperation with other Japanese automobile company and renewal of manufacture Geo Storm as model 1996 has started to consider General Motors. But recently growth of a course of yen has made unprofitable manufacture in Japan of the cars intended for the North American market. The general manager of project Geo Jim Perkins has declared that thereupon car manufacture is stopped without day. However tone of the statement nevertheless was as a whole optimistical as g - n Perkins has made it, acting at assembly factory in the Canadian province of Ontario on the occasion of the beginning of release of the new version of car Geo Metro made by company CAMI Automotive Inc. (The joint venture of General Motors and the Japanese company of Suzuki Motor).
the Decision of General Motors has coincided with the beginning of reduction of sales volumes of the cars made in Japan and delivered on the North American market under trade marks of the companies the big three . Chrysler corporation stops manufacture of Dodge and Plymouth Colt, imported to the USA from Mitsubishi Motors Co factories. For the first 7 months 1994 The big three has sold only 48,974 import cars and utility trucks in the USA (in 1993 - 114,096). Simultaneously with reduction of import of the cars made in Japan, General Motors, Chrysler and Ford translate the manufacture placed there to the North America. Thanks to it for the first time over the last 10 years the American automobile factories have made more production, than Japanese.
Geo - family automobile and the lorries made by General Motors together with the Japanese automobile companies. Model Storm was made in Japan, Geo Prizm, Metro and Tracker - in the North America. In connection with phase-out Geo Storm the corporation aspires to sell available stock of these models. But this year (4700 cars have been sold for the similar period of 1993 - 26,274) only. High hopes of General Motors assigns to the updated model of midget car Geo Metro. Thanks to changes in design, the car became more spacious. Instead of the three-cylinder engine on it the four-cylinder will be established. Cost of base model will make $8,395. Under the forecast g - on Perkinsa, in 1994 it will be sold 260 thousand cars Geo.
NIKOLAY - TEETH, EVGENIE - OSTAPOV