"2026 Business Strategy Conference" Held
Virtual Engineering Lab Established in Cheongna
General Motors (GM) Korea (Korea GM) will invigorate its sluggish domestic sales next year by newly introducing four models under the Buick and GMC brands. At the Cheongna Proving Ground, the company will establish a "Virtual Engineering Lab," aiming to develop it into the world's second-largest research and development subsidiary after GM's U.S. headquarters.
Additionally, GM Korea plans to invest $300 million (approximately 440 billion won) in its domestic production base to enhance manufacturing capacity, directly countering the recent rumors of withdrawal that have spread following the suspension of its directly managed maintenance business.
On December 15, at the "GM Cheongna Proving Ground" in Cheongna International City, Seo-gu, Incheon, GM Korea held the "2026 Business Strategy Conference" and announced its business strategy and key milestones for the coming year.
Hector Villarreal, President of GM Korea, Gustavo Colossi, Vice President of Sales, Service, and Marketing for GM Korea, and Brian McMurray, President of GM Technical Center Korea, attended the event. Also present were Park Sunwon, a National Assembly member from the Democratic Party of Korea (representing Incheon Bupyeong-gu-eul), representatives from the Chevrolet and Cadillac sales networks and partner service networks, the president of the GM Korea Cooperation Council, members of the board and employee representatives of GM Korea Foundation, and other stakeholders.
GM Korea shared with the attendees the following key developments: ▲ Transition to an integrated virtual and physical development model and strengthening Korea's role as a global engineering hub through the opening of a new virtual center at the Cheongna Proving Ground ▲ Achieving profitability in 2024 and establishing a sustainable profit structure ▲ Ongoing investment in domestic production facilities and robust global demand for vehicles produced in Korea ▲ Expanding the domestic multi-brand and channel strategy, including the launch of GMC and Buick, and strengthening the sales and service network.
President Villarreal stated, "Achieving profitability in 2024 is a significant milestone for GM Korea. By faithfully implementing the normalization plan established in 2018, we are building a sustainable foundation."
He continued, "Over the past 20 years, GM has produced 13.3 million vehicles in Korea and sold 2.5 million units in the domestic market, establishing itself as a key pillar of the Korean automotive industry. We will further strengthen our full-cycle capabilities in Korea, from vehicle design and engineering to production and sales. At the same time, we will expand our next-generation internal combustion engine and electric vehicle portfolios, introduce advanced driving technologies for Korean customers, and grow alongside the Korean automotive ecosystem and local economy as a strong partner in the Korean market."
He also emphasized, "We are responding to strong global demand for vehicles produced in Korea, and Korea is playing a key role as a production base in GM's global growth strategy. To enhance our mid- to long-term competitiveness, we will continue to invest in our domestic production base. GM's unwavering commitment to Korea remains unchanged, and we are more prepared than ever for a sustainable future."
Vice President Colossi introduced GM's multi-brand and channel strategy for the Korean market. He stated, "Next year, we will further strengthen our market position by introducing two new brands, GMC and Buick, to Korea, in addition to Chevrolet and Cadillac. By expanding and enhancing our sales and service channels and networks, and by offering a broad vehicle portfolio equipped with advanced technologies such as Super Cruise, we will deliver an even more elevated brand experience to Korean customers."
Although the specific models have not been finalized, three GMC models and one Buick model are expected to be introduced. As a result, Korea will become the first GM global market outside of North America (the United States, Canada, and Mexico) to offer all four product brands. The Chevrolet sales network will handle Buick models, while the Cadillac sales network will handle GMC models. Additionally, new showrooms will be added in the first half of next year in areas such as Songpa and western Seoul, as well as Busan, to expand customer touchpoints.
President McMurray stated, "The renovation of the Cheongna Proving Ground, including the new virtual center, provides a solid foundation to accelerate the transition to integrated virtual and physical development. This transformation will play a crucial role in further strengthening GM's global engineering capabilities."
The virtual center at the Cheongna Proving Ground, unveiled today, is a new core project of GM Technical Center Korea that has been in preparation since 2024. It is expected to help GM secure faster and more flexible future technology development capabilities in the global market.
The virtual center has integrated ten bench labs that were previously dispersed throughout the company, including the electric system bench, VR workup station, and driver-in-the-loop simulator. This is expected to significantly improve development efficiency and collaboration systems, thereby expanding the research and development (R&D) capabilities of GM Technical Center Korea.
A GM Korea representative explained, "By linking the virtual development environment with physical testing at the proving ground into an organic process, we can greatly enhance development accuracy, integration, and efficiency. This will shorten the period required for real vehicle testing and reduce costs, while also establishing a company-wide knowledge-sharing system to accelerate collaboration and innovation."
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