File photo for representational purposes only
Bogotá: US carmaker General Motors announced Friday it would close manufacturing plants in Colombia and Ecuador and promised support to employees, hundreds of which will lose their jobs according to unions.
Dismantling of the Colombia plant would start without delay, while in Ecuador manufacturing activity will cease toward the end of August, it said in a press statement.
Operations in both countries will transition "to a national merchandising model to support the launch of next-generation vehicles," it added.
A Colombian labor union said 600 people will find themselves without work. In Ecuador, GM provided some 450 direct jobs and more than 6,700 indirect ones, according to 2022 data.
GM said the plants had been underutilized, adding it would maintain its presence in the two countries through the Chevrolet brand.
"The company understands the impact this decision will have on affected employees and we will support them during their transition," it added.
On Tuesday, GM reported higher profits thanks to continued strength in North America that offset a loss in its China business, enabling the carmaker to lift its forecast.
