According to a media announcement on Thursday morning, General Motors will officially be pulling out of South Africa…

However, Isuzu has officially taken over operations at GM’s light commercial vehicle manufacturing plant in Port Elizabeth.

“With its proud heritage, Isuzu will deepen its presence in the country with the establishment of Isuzu Motors South Africa,” the company announced.

According to the GM, employees and unions were informed about the changes on Thursday morning, and a formal consultation process will begin.

“GM South Africa will also work closely with affected dealers on a robust transition plan,” says the company. “Customer support centre resources will be expanded and all warranties and service agreements as well as ongoing service and parts requirements for all vehicles will continue to be honoured.”

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Transformation

The company said that it was transforming its business globally which meant phasing out the manufacturing and sales of Chevrolet vehicles subject to regulatory approvals.

“There have been significant changes to the global industry over the last few years, and our global strategy has evolved with these changes. The most significant industry change has been the emergence of mobility (autonomous/ride sharing/electrification/connectivity) as a service and as a long-term growth opportunity.”

“Globally, GM firmly believes there are opportunities where it can achieve greater return on investment – in specific vehicle segments and markets where the outlook for growth is very strong (business adjacencies, SUVs and crossovers, U.S. and China).”

According to the release, the full transition is expected to be completed by the end of 2017.

Customers won’t be impacted

GM assured customers that the changes would not impact existing warranties, and service plans will remain in place and be honoured beyond 2017.

“If you are an Isuzu, Chevrolet or Opel owner, ongoing aftersales and parts support will continue through the existing GM dealer network to the end of 2017. All existing warranties and service plans remain in place and will be honoured beyond 2017.”

“From 2018, Isuzu dealers will provide aftersales and service support to Chevrolet and Opel customers until the details of our discussions with PSA have been finalised.”