- Great Wall Motors will reportedly shut down its European offices in Munich in August, laying off 100 employees.
- The automaker will remain in existing markets but cancelled expansion plans to other European countries.
- Slow sales played a pivotal role in the decision, as Great Wall Motors had only 6,300 registrations in Europe in 2023.
Things are not looking good for Chinese automaker Great Wall Motors in Europe, as the company will reportedly close down its Munich headquarters in Germany, laying off the entire staff, including the management team. GWM models will continued to be sold in the existing European markets, but a previously planned expansion to other countries is being cancelled.
The decision to shut down the European headquarters was most likely taken due to the slow sales of the brand’s lineup in the Old Continent. In 2023, Great Wall sold a total of 316,018 units in overseas markets, but only 6,300 of those ended up in Europe. Note that the automaker recently postponed its target of selling 1 million cars outside China from 2025 to 2030, citing challenging market conditions.
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As reported by German media outlet Manager Magazin, Great Wall’s offices in Munich will close at the end of August, and all of the 100 employees will be laid off. The same source suggest that the employees and partner companies have already been informed. Despite the bad news, Great Wall issued a statement about its commitment to the existing European markets, while admitting the need for adjustments amidst a volatile market.
In November 2023, Great Wall Motors announced the consolidation of the Ora and Wey brands into a single GWM unit, renaming its products accordingly. Back then, the Chinese automaker planned an expansion to Spain, Italy, Portugal, Belgium, Luxembourg, Netherlands, Austria, Switzerland, Denmark, Iceland, and Bulgaria within 2024, which has now been cancelled.
On the other hand, GWM will honor the already established partnership agreements in Germany, UK, Ireland, and Sweden. The closure of the European offices means that the overall management will now take place directly from the Baoding headquarters in China.
The GWM lineup currently includes the Ora 03 (previous known as Ora Funky Cat) as well as the Wey 03 and 05 SUVs. It remains to be seen if the European debut of the Panamera-style GMW Ora 07 sedan will take place in summer 2024 as originally announced.
