LONDON - Daewoo and General Motors could reach a tentative agreement to form an alliance by the end of June, said Daewoo Group Chairman Kim Woo-Choong.
The companies have discussed plans for GM to produce cars for Daewoo in South America and Thailand, and for Daewoo to build cars for GM in the Ukraine.
Kim and Lou Hughes, president of GM's International Operations, are the top negotiators. The key issue is how big a stake GM would buy in Daewoo, said Kim. He said he does not favor GM taking more than 50 percent, at least for five years.
'We are looking for markets with more than 20 million people for future growth and manufacturing bases,' he said. 'A partnership with GM could help us get into those markets.'