President Joe Biden signed an executive order Thursday that will help drive EV sales to 50 percent market share by 2030, Reuters reports.
The new executive order has received backing from General Motors, Ford and Stellantis, as well as major foreign automakers like Toyota and Hyundai. In a statement released this week, the Detroit Big Three said the goal of EV sales make up 40-50 percent of the market share “can be achieved only with the timely deployment of the full suite of electrification policies committed to by the Administration in the Build Back Better Plan.” Biden’s Build Back Better Plan includes purchase incentives for EVs, incentives to expand the electric vehicle manufacturing and supply chains in the United States and a commitment to build a nationwide charging network.
“With the UAW at our side in transforming the workforce and partnering with us on this journey, we believe we can strengthen continued American leadership in clean transportation technology through electric vehicle innovation and manufacturing,” the GM, Ford and Stellantis said in the joint statement. “We look forward to working with the Biden Administration, Congress and state and local governments to enact policies that will enable these ambitious objectives.”
While the executive order calls for 40-50 percent EV sales by 2030, this figure will include hydrogen fuel cell vehicles, as well as hybrids and plug-in hybrids that will still have a combustion engine or gasoline range extender. GM has already abandoned plug-in hybrid vehicles, viewing them as an unnecessary stop-gap to battery-electric vehicles, which it believes will eventually come to dominate the marketplace.
GM is well-poised to compete in the EV arena, with the automaker planning to launch 30 new EVs globally by 2025– more than two thirds of which will be available in the U.S. GM will also be first to market with a battery-electric pickup truck once customer deliveries of the GMC Hummer EV begin later this year.
Earlier this year, GM CEO Mary Barra said the automaker is “transitioning to an all-electric portfolio,” over time and is “rapidly building a competitive advantage,” in EV batteries, software, vehicle integration and manufacturing.