By Mike Spector 

General Motors Co.'s financial hit caused by its exposure to the Venezuelan currency will grow to $1 billion in the first half of the year, deepening the troubles stemming from dismal industry conditions in South America.

The Detroit auto maker on Thursday said it would take a roughly $600 million pretax charge in the second quarter after changing the way it approaches the exchange rate on Venezuelan currency. This follows a $400 million devaluation taken in the first quarter related to the bolivar.

GM will move to a system that values Venezuelan currency at 200 bolivars to one U.S. dollar, a dramatic shift from the previous approach of 13 to 1, a spokesman said. While the charge isn't expected to affect operating results in Venezuela or South America more broadly, it is the latest indication of turbulence in a region that has been troublesome and comes after currency headwinds dented the company's first quarter revenue by $1.7 billion and decreased operating margin by $300 million.

GM shares closed down 1.31% at $34.70 Thursday on the New York Stock Exchange. Venezuela has been a drag on several auto makers, including Ford Motor Co., as low oil prices and currency controls have crimped the economy.

Ford took an $800 million pretax charge in the fourth quarter to remove its Venezuelan operation from its consolidated financial results, part of $1 billion in total impact against Ford for 2014.

GM lost $214 million during the first quarter in South America, as revenue slipped 30.8% to $2.1 billion. GM has warned it expects to halt vehicle production in Venezuela in July amid currency-related difficulties. It builds Silverado pickup trucks and a few car models at a factory in Valencia.

In its first-quarter filing with the Securities and Exchange Commission, GM also warned it may be affected in its ability to fully benefit from and maintain its controlling financial interest in Venezuelan operations. It said that no longer being able to maintain controlling financial interest could result in a charge of up to $800 million, based on the April exchange rates.

Venezuela isn't the only place in the world where economic and currency headwinds hurt GM.

In March, the auto maker took the drastic step of shuttering most of its Russian operation. While the weak ruble played a role, wider political uncertainty and economic turmoil led the world's No. 3 auto maker in terms of sales to throw in the towel on a Russian car market once believed to hold significant potential.

GM recorded a $428 million charge related to the Russia move. Once clear of those operations, GM believes it will be more likely to achieve a 2016 profit target for European operations, which have been in the red since 1999.

Write to Mike Spector at mike.spector@wsj.com

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