GM Valencia Assembly seized by Goverment

[70 copo]

Lots of buzz in the media on this but as usual there is a back story.

Venezuela's currency controls have been steadily reducing disbursement of greenbacks (real money) as low oil prices leave the OPEC nation receiving less real export revenue. That has resulted in GM being unable to import parts, forcing the halt of production lines over the last several years and slash payroll.

GM assets there are valued at 500 million USD in Valencia where it employs 3000 workers building Aveo, Cruze, Silverado, and Orlando.

Due to the currency devaluation That started in 2015 by President Nicolas Maduro's socialist government - (a 70 percent devaluation of the bolivar via a new "free floating" currency system known as "Samadi") the plant could no longer consistently monetize operations.

Yesterday the Venezuelan Government seized the plant and all GM assets

Historically Caracas, was an assembly point for the first Generation Camaro.