GM reports $6 billion hit from now-unused EV investments
The Detroit News••business
Key Points:
- General Motors disclosed a $6 billion impairment charge related to unprofitable electric vehicle (EV) investments, reflecting assets unlikely to generate expected profits.
- The charge was influenced by the removal of a $7,500 federal tax credit for EV buyers and the rollback of federal greenhouse gas emission regulations, which slowed consumer demand for EVs in North America starting in 2025.
- In response, GM reduced EV production capacity by converting its Orion, Michigan assembly plant to produce full-size SUVs and pickups with internal combustion engines, targeting unmet demand in that segment.
- GM also scaled back battery cell capacity by selling its stake in Ultium Cells LLC’s Lansing facility to LG Energy Solution.
- The $6 billion charge includes a $
