GM Plans to Double Production in Venezuela image

Wednesday, August 1st, GM announced it plans to more than double production in Venezuela.

President Hugo Chavez said that the GM’s senior executives made him aware of the company’s plan to more than double production of auto parts and cars in Venezuela when he was in Brazil for a ceremony and could not offer journalists details about this.

But Venezuela’s Industry Minister Ricardo Menendez said that GM plans to boost auto production in the country from 50,000 units annually to 120,000 units. Menendez added that the company also wants to increase production of auto parts both for Venezuela’s market and for exports in the Caribbean and Brazil.

It’s good to know that GM and Venezuela are in good terms now, after in 2009 President Hugo Chávez threatened the international car companies, among which was GM, that he will close their plants in the country if they don’t start building more cars for the rural for the rural areas and transfer manufacturing methods and new technologies to the local units.

“We’ll take it, we’ll expropriate it, we’ll pay them what it is worth and immediately call on the Chinese,” Mr. Chávez said back in 2009.