SEOUL – General Motors will start ten electrical cars in South Korea by 2025, but has no strategies however to manufacture EVs in the region, Steven Kiefer, the head of GM’s international functions said on Friday.

The No.one U.S. automaker, which warned last yr that persistent industrial action was preventing further more investment decision in South Korea, builds EVs in the United States and China. It also has strategies to make them in Mexico and Canada.

Kiefer’s check out immediately after a Korean labor union delegation went to Detroit in June experienced led to speculation in community media that he could announce new EV production strategies.

“We are not announcing any strategies however to make electrical cars in the region, so continue to be tuned for that,” Kiefer instructed a media briefing.

GM’s South Korea device builds about 600,000 cars a yr, shipping and delivery lots of to the United States including the preferred Chevrolet Trailblazer SUV, and employs about 12,000 men and women. It claimed an operating reduction of 309 billion received ($262 million) last yr.

When requested about the impression of the chip lack at GM’s Korea vegetation, GM Korea Chief Govt Kaher Kazem said production quantity in the region this yr was down about 25% versus last yr, but the chip lack appeared to be easing.

Kiefer also said GM’s partnership with South Korean battery maker LG Energy Option was “quite shiny”.

“Evidently more (battery) capacity is heading to be needed, so continue to be tuned for some supplemental bulletins,” he said.

GM and LG Energy Option are developing two battery mobile producing vegetation with a merged annual production capacity of about 70 gigawatt hours in the United States, which could energy about one million EVs.

In Oct, GM said LG models experienced agreed to reimburse it for $two billion in estimated fees and costs linked with a recall of Bolt EVs.

($one = one,177.8000 received)

(Reporting by Heekyong Yang Editing by Richard Pullin and Mark Potter)