General Motors to Cease Production of Chevrolet Sonic in Thailand

   By Colum Murphy 
 

SHANGHAI--General Motors Co. will cease production of the Chevrolet Sonic passenger car in Thailand by June of this year as part of a sweeping restructuring of its operations in the Southeast Asian nation.

The announcement, which came one day after GM said it would close its manufacturing plant in Indonesia, applies to the carmaker's manufacturing and corporate operations in Thailand.

Laurent Berthet, director of communications for GM Southeast Asia, said the 3,200 people employed by the company in Thailand will be invited to take part in a "voluntary separation program," that "could potentially result in few hundred job losses."

Mr. Berthet said the move was not a retrenchment. "We are focusing on where car sales are," he said, adding that in Thailand that mainly means the truck and sports-utility vehicle market.

Stefan Jacoby, head of GM's international operations, said in a statement that the decision was part of a larger global strategy aimed long-term sustainability for the company.

"We are focusing our investments where the opportunity for GM's growth is greatest. We have made solid progress in our region and this decision is an important part of this strategy," Mr. Jacoby said.

Write to Colum Murphy at [e-mail]

Subscribe to WSJ: http://online.wsj.com?mod=djnwires