Cars and Drivers

GM's EV Dreams Take a Hit

Douglas A. McIntyre

Published: December 15, 2023 9:15 am

General Motors Co. (NYSE: GM) will fire nearly 1,000 people at its Lake Orion, Michigan, plant that makes its electric vehicle (EV) anchor product. The Chevy Bolt has been part of GM’s lineup since 2016, which put it in the EV vanguard. It is part of a rotation from an old EV product to an array of new ones.

The Bolt is cheap, at $28,000. It was also a candidate for the federal government Clean Vehicle Tax Credit, which would be as much as $7,500. Beyond GM’s introduction of more modern EVs, the Bolt ran into the buzz saw of flagging demand for EVs by Americans who worry about range and the lack of charging stations. That trend has threatened EV sales across the industry. (These are the 15 worst-selling electric vehicles this year.)

GM has recently introduced electric pickups, which are versions of some of its gasoline-powered nameplates. These are the Sierra and Silverado. The latter is among the three best-selling vehicles in America.

GM has also released an EV version of its massive Cadillac SUV, the Escalade. It will cost a mere $130,000 and, with extra features, can sell for as much as $170,000. Cadillac has launched a brand new nameplate, the Lyriq crossover. It sells for a more modest $60,000. GM also has an electric version of the Hummer, which did not sell well in a gas-powered version.

GM was remarkably bullish on EVs. Its investment in EVs and autonomous vehicles was set as high as $35 billion before the end of 2025. Because of slow demand, GM and crosstown rival Ford have slowed the pace of EV production.

The Bolt was among the first forays U.S. car companies made into the electronic car market. As it leaves the GM lineup, the big manufacturer has to measure the lofty EV goal against demand reality.