GM Korea, the nation’s third-largest carmaker, said Monday it will be reintroducing its Damas and Labo vehicles here to meet the persistent demand for these compact commercial vehicles.

A company source said it was ready to set up an assembly line for the two models at its Changwon plant, located about 400 kilometers southeast of Seoul. Pilot production can start this month, the source said, with full-fledged assembly and delivery to start in mid-August.

The cars, initially sold by GM Daewoo in the early 1990s, are mostly used for deliveries and other commercial services for smaller companies and merchants. They are popular for their cheap prices and compact size.

GM Korea, the South Korean unit of U.S. automaker General Motors, had said in June that it would halt the production of the Damas and Labos due to financial and regulatory reasons.

(jylee@heraldcorp.com)