General Motors is losing its golden goose in China. Once a linchpin of its global growth strategy, the country is now the US automaker’s biggest headache. 

The company behind Buick and Chevrolet said this week it would take a charge of more than $5bn as it restructures its China business, which is made up of joint ventures. It has its work cut out.

Like other foreign car companies, it is facing multiple challenges in the country. Growth in the Chinese auto market has slowed as consumers cut spending. At the same time, local players — helped by generous subsidies from Beijing — are winning market share. A tit-for-tat trade war resulting from US president-elect Donald Trump’s proposed tariffs on Chinese imports would add to the pain. All this means that, while GM would like to draw a line under its woes in China, it is far from certain that it can do so.