GM Korea CEO quits

Automaker denies report on Chevrolet plant moving to Europe


GM Korea announced Friday that its CEO Mike Arcamone has resigned with his term not yet expired and that GM International Operations vice president John Buttermore will assume the interim chief position. 

GM Korea said Arcamone “would leave the auto industry and return to his homeland of Canada” without elaborating.

Arcamone’s departure came as the Korean unit of the U.S. automaker is seeing a surge in sales on the domestic market after it adopted the Chevrolet brand name and introduced eight new automotive models last year. The company said the new CEO would be appointed later, without setting a specific timetable.

Buttermore joined GM in 1979, starting at the products division in Rochester, New York. After serving in key posts ranging from engineering to production to labor relations, he was appointed GMIO’s vice president in September 2009.

GM Korea also denied media reports that GM is considering moving its Korean Chevrolet production line to Europe.

Earlier in the day, the British newspaper the Telegraph reported that GM intends to revive the troubled Opel and Vauxhall arms by transferring some Chevrolet production lines from Korea to Europe.

“We are not going to comment on speculation. GM Korea is an integral part of the GM organization as GM Korea’s plants are an integral part of GM’s global manufacturing footprint,” said GM Korea in a statement. “Our operations are flexible and are running at a healthy capacity at the moment. There is nothing to say beyond that.”

Moving the Korean plant to Europe is likely to face strong resistance from Korean workers, as the local union has warned that it would stage a fight on GM if such plan goes ahead. Last year, GM Korea shipped about 250,000 vehicles to Europe.

By Yang Sung-jin
(insight@heraldcorp.com)