Calendar 2025 will put GM and its EV portfolio strategy to a significant test, a variety of analysts say, with the AutoPacific industry analysis director Paul Waatti declaring that “this year is critical for them.”
He is just one of several leading analysts who believe 2025 will have crucial implications for the EV plans of GM as the administration of U.S. President Donald Trump suspends the federal EV charger program and cuts back on other electric vehicle programs, Reuters reported.
Prior to Trump’s whirlwind of executive orders and new direction to the federal government’s automotive policy, GM was beginning to see significant results from its EV push. The General’s electric vehicle lineup grabbed market share from Tesla in 2024, with its sales rising by 37,000 units while Musk’s company sold roughly 37,000 less EVs in a sector noted for cutthroat competitiveness.
GM EV sales figures in Q4 2024 saw U.S. consumer purchases of its all-electric models skyrocket by 363 percent year-over-year to 43,976 vehicles. The Cadillac Lyriq was the most successful with over 8,000 units sold during the quarter, but the Chevy Blazer EV was catching up fast, only a few hundred units behind.
Despite this success ICE models still comprised approximately 94 percent of Q4 sales, Reuters points out. The backbone of the automaker’s portfolio are full-size pickups and SUVs, among the most troublesome vehicle types to successfully electrify with current technology.
Ivan Drury of Edmunds is fairly pessimistic about the prospects for EVs if Trump quashes the $7,500 tax credit. Expecting the EV sector to hit a brick wall if the credit is removed and automakers are unable or unwilling to lower electric vehicle prices, he states “we know what happens if you don’t provide [the tax credit subsidy]. You don’t sell.”
About 70 percent of EVs were leased rather than purchased outright last year, signaling further caution among potential buyers. Full-size trucks and SUVs, GM’s bread-and-butter, are also quite pricey, making the $7,500 credit even more vital to electrifying this segment.
However, regarding these large, powerful vehicles, “for the foreseeable future they’re probably not going to be able to get the same margins – not unless we have some major breakthrough on the battery front,” according to Telemetry Insights market insights VP Sam Abuelsamid.
Rory Harvey
Trump’s executive orders leave the fate of the tax credit in limbo, as well as other EV programs. However, GM executives appear to remain positive, with Vice President and President of Global Markets Rory Harvey invoking the automaker’s expanding electric lineup and range of EV price points as the key to success.
Harvey declared that “we’ve got the broadest lineup out there, and we definitely have momentum. And we all know that the automotive industry is a momentum game.”
Comments
Wow…the guy’s a “visionary”.
Such “pearls of wisdom”.
Bring the Camaro back.
GM\Chevy had a major lead in the VOLT Voltec PHEV \extended range EV project then squandered it. Overall this system is 30% more fuel efficient than even the latest Prius PHEV for the typical, everyday user who trip-drives occasionally.
I have a lot to say about this.
Yes in theory and on paper, VOLTEC system was the best hybrid system. It incorporating two planetary gear sets for better control over the range of bandwidth was better architecture than everyone else that didn’t (Honda, Hyundai, Europeans, BYD DM-i etc) and even better than Toyota/Ford that only has one.
However, where GM dropped the ball was execution and packaging. First gen Volts are only barely more efficient in EV mode (and significantly less efficient with the engine on) than the first gen Pruis PHEV and the 2nd gen Volt didn’t edge out the 2nd gen PHEV on either metric. In fact first gen Volts are bad enough with the engine running that they’re only 3-4mpg more efficient than current pure gasoline compact cars.
Where the Volt was better than the Prius PHEV was in pure EV range. However this was because they put a massive battery that took up interior space ultimately.
If GM was not discouraged by these shortcomings and kept pushing through with it, it probably gave Toyota’s hybrid both plug and non-plug a run for its money. But look where we are now.
Chevy Volt used to have 40-50mi pure EV range from 16-18kwh battery when comparable Toyota Prius Prime had less than half the pure EV range and very small battery. Now RAV4 Prime a much bigger SUV can achieve 40mi+ with 18kwh battery. Prius Prime can reach 44mi with smaller 13kwh battery
Same with luxury cars. Cadillac CT6 PHEV had 30mi or so pure EV range with 18kwh battery pack. Largest Lexus SUV TX can now achieve slightly higher pure EV range with the same battery pack size.
And most of those Toyota PHEV products are technically built on the foundation of fourth-generation system, not the newest fifth generation system.
And although Toyota PHEV is a bit of an unobtainium (for now anyway), it is nowhere near as unobtainium as Chevy Volt and its BMW 3 series like price tag at the time. And at least in Toyota’s case, those PHEVs are pretty sporty so the premium they are asking is justified
Ford have also caught up to General Motors PHEV technology and although not as good as Toyota’s PHEV at least their product is obtainable.
Now, General Motors can do their homework and come swinging or release mediocre product that is not the level of the top dog anymore. I am afraid with Mary’s track record it is the latter
Dennis, I appreciate your observations and comments. Here’s what I can add:
We own both a Gen2 VOLT and a RAV4 Prime and have kept all of the gasoline use receipts since both were new. They are both used similarly with about a 60% mix of in-town use and 30% highway driving with occasional trips of around 300 miles. Each has a traction battery of 18 to 18.4 Kwh. The Rav4 Prime weighs 4,209 lbs vs 3,527 lbs for the VOLT and the Rav4 is about like a brick compared to the VOLT’s sleeker shape. Over 40,693 miles, the Rav4 Prime as used 435.2 gallons of gas. Over 45,738 miles, the VOLT has used 267.5 gallons of gas. Since most of the use is in-town, I don’t attribute the all of the difference to either shape or weight since both have effective re-gen braking. Rav4 Prime gets 37-38 mpg, the VOLT about 40-42mpg. There is a fundamental difference in the design of the drive system and controlling software.
Toyota installs a larger battery and a socket for an external power in their hybrid-drive design and this becomes the parallel-drive Rav4 Prime (and Prius Prime). These are actually an extended-range HYBRID vehicles.
The GM VOLT is a ‘Series-drive’, fully electric vehicle with the on-board generator that is only used WHEN THE BATTERY IS DEPLETED. Around town, the VOLT engine never uses gasoline unlike the Toyota system which will default to gasoline (hybrid) operation at times according to temperature, speed/slope and drive style. The ‘HOLD’ mode is available to the VOLT driver to operate the car on the highway as a ‘hybrid’ and reserve the battery charge for later use for in town.
Because the VOLT has a greater electric range than the Rav4 Prime by about 10 miles, in daily use, the battery isn’t depleted as often and the range-extender generator doesn’t use any gas. If the Rav4 Prime had a ‘HOLD’ mode similar to the VOLT’s, a driver could minimize gas use somewhat.
I’m not criticizing the RAV4 Prime – it’s a great vehicle! I feel the VOLT is greater and just fun to drive!!
I’d like to see GM build a new extended-range EV (ExREV) with a 60-mile EV range using a 22-25 Kwh battery depending on the vehicle design. The key to gasoline savings is in having an EV range that more closely matches the daily drive distance for typical drivers.
The sentence should have read – ” Rav4 Prime gets 37-38 mpg, the VOLT about 40-42 mpg on the highway. “
Here’s the thing, one-size-fits-all – does not. Voltec could be best in high usage cycles – like police vehicles, it’ll need a peppy awd and good fast charging, and watch Ford figure that out first.
Toyota hybrid, as the sensible herd choice but pricy spend, doesn’t translate to others. Anything more than a simpler engine & single motor hybrid makes the value buy equation for a Chevy or Ford into a likely loss maker.
Prius, as the mpg-performance enthusiast car, doesn’t translate to others. If Ford got off its over-engineering bent – should offer to platform share it, and sell a 6-valve 3-banger 6-automatic in that body for the USA. On the opposite sides of the performance spectrum (for truck and track), Cadillacs could use smoother EREVs without a direct geared engine.
TYPICAL BRAINLESS BARRA. GENERAL MOTORS SHOULD DITCH THE EV PORTFOLIO AND EXCLUSIVELY MANUFACTURE GEO METROS, PRISMS, AND CAMEROS GOBBLESS
The government subsidy plan is pretty much “bribery” to get folks to switch to EV’s. When that goes away, so do EV sales. I’m not against EV’s as they have their place. I am against taxpayer $$$’s paying people to purchase them.
Should be against tax payers paying for Oil Drilling too.
Darol,
Yes and all the tax subsidies were originally proposed and implemented, some 20 years ago, to help EVs gain a foothold in the marketplace and become viable alternatives to ICE vehicles. I’d say Tesla has achieved that. The Model Y is now the best-selling car in the country and the third best/selling vehicle overall behind only the Silverado and F150. Thus I would say the mission of the government incentives has been achieved, perhaps not for all carmakers, but EVs are clearly now viable so it’s time for the subsidies to end. It has nothing to do with who is president. Rather it’s a mission accomplished situation.
Tesla sales have turned south in the past few months and the fall is bound to get steeper due to Elon’s radical right wing actions. More and more Tesla owners are unhappy with Musk with many looking for ways to get rid of their cars. Protesters are grouping outside of Tesla sales offices, adding to public displeasure for Musk and Tesla.
StuartH,
I think you’re missing the point. EVs have been subsidized to get them to a point of viability. They’ve reached that and Tesla has, by far, been the preeminent company to prove that EVs can compete with ICE. The fact that some people now are trying to make a political statement against Musk and his company does nothing to disprove that EVs have reached a point of maturity where government subsidies are no longer required. Obviously those subsidies couldn’t go on forever. It’s time that they end.
It all comes down to whether Trump wants to destroy the EV industry in the US or not. Cutting funding to the IRA means all those auto manufacturers who committed to building EV plants in those southern red states will lose out on those facilities and job opportunities they would have created.
It currently seems he’s more willing to fund O&G over EVs.
Regardless, GM is in a good spot with their EVs. They have a great variety of options and when the Bolt family comes back online, they’ll have an even lower priced option. Even if the rebate disappears, GM will have options for anyone to choose from regardless of budget.
On the ‘options for everyone’:
We’ll see…
The Cadillac Lyriq was the most successful with over 8,000 units sold during the quarter, but the Chevy Blazer EV was catching up fast, only a few hundred units behind.”
18,089 Equinox EVs disagree with this statement.
This site is wild. What possible reason is there to down-vote a straightforward factual correction?
People are feeling ignored, unimportant, and left behind. Attacking anything in support of EVs helps them feel better and gives them a sense of comradery.
How can we truly gauge the market when GM is offering incentives to both customers and dealers to push EV’s and eating the losses?
Point me to the incentives. They aren’t pushing them like Ford is.
please note that US EV market is just the frontyard for EV manufacturers , There is entire Globe that could benefit from EVs that are priced right and truely compete with ICE variant. Public Charging Infrastructure , charging in 10 minutes, some battery Swap stations for UBER alike users , they all help – Cheaper electricity at Super charger these days is outragousely 8-9 times higher than home charging that gap also needs to narrow down as well.
Customers should choose what works best for them. They’ve been tipping the scales with using taxpayer money to fund EVs and companies’ R&D and manufacturing, giving EV buyers tax breaks, setting regulations so high that they are EV mandates in effect, and then hedge funds/banks giving auto manufacturers loan rate discounts to push their agendas. Enough is enough. Provide a level field and options for customers (including ICE, hybrids, and EVs).
For Cadillac to be all ev is not going to work neither will Cadillacs built in china
Well for the EV market to really take off, the battery technology needs to keep improving at a rapid pace, so that prices can come down. It seems everyone in the EV business knows this, and is working hard on it. Time will tell. In the meantime hybrids and plug in hybrids will help.
Some great points here – a nice civil discussion for once:)
For as long as I live I will never understand the “Why” that EV’s became political.
It is an ever changing Industry and one that we are a huge player in. So why would any political party or President be against a new and fast growing technology that will take over the Industry. I would assume you would want to protect your Industry and thrive well into the Future.
If we stifle the progress of this new technology we are basically allowing China to dominate the World Auto Sector by 2035/2040…..It will be China because European automakers (Legacy Auto as they have no new startups like the US does) is very slow to offer “Good” BEV’s that can compete with Tesla, Rivian, Lucid, and the new Chinese automakers.
Side Note:
Just something to think about.
The military uses a Sh*t ton of batteries so it is basically National Security to lead in this new Industry.
I would think that ALL politicians could have had the entire Country behind this new Technology just by making it about National Security, which they wouldn’t be lying.
The technology became ‘political’ when government incentives funded by taxpayers were offered and a mandatory time scale was imposed on the industry the end production of gasoline internal combustion engines.
At some point, the discussion of how to increase the efficiency of the national auto fleet by increasing the MPG of new vehicles became ‘how to eliminate gasoline usage entirely’.
New engine design and the development of electric-assist drive systems has resulted in amazing increases in the fleet average MPG compared to the “Golden Age 1950’s-1970’s” when 10 – 15 MPG was typical for family cars. With the wide-spread construction of the Interstate Highway System, operating speeds increased and yet today’s cars are regularly obtaining 25 to 35 MPG for average drivers.
Even us ”car guys” have to acknowledge the environmental awareness the spurred our government to initiate CAFE standards which resulted in the innovations in the motor industry which probably wouldn’t have happened without these standards. The ’80’s were chaotic in the industry but by the ’90’s, research efforts were yielding positive results. Then Honda Insight and Toyota Prius came on the scene and though this was costly to those companies, other companies looked at the fuel savings and decided to follow their lead in developing hybrid systems.
GM came along and demonstrated with the EV-1 that electric-drive was possible for everyday drivers though battery and platform technology wasn’t yet available for practical application. However, the idea of an electric fleet replacing our fossil fueled fleet germinated in the minds of some bureaucrats.
This is where things may have starting to go ‘off the rails’ so to speak. Bureaucrats with some power, authority and hubris but lacking in technical expertise, began to decree that all fossil fuel use and internal combustion must be eliminated. Their self-assurance prevented them from realizing that technological advances mostly occurs in steps and issuing mandates and throwing tax-payer money at their ideology may cause greater disruptions than the benefits they hope to obtain. People, especially Americans, don’t like being forced. They especially don’t like being forced to have their tax money being used to subsidize changes in their ways of life when they are not convinced that the changes will benefit them.
Personally, I give a lot of credit to GM’s Bob Lutz and his people for seeing that though an electrically-driven platform was probably inevitable, he set out to demonstrate this with his team. Hence the development of the Chevrolet VOLT. It would be a battery-electric-drive platform having an on-board generator to produce electricity for the occasions where the range necessary to meet the driver’s needs exceeds the capacity of the battery which would be recharged at the owner’s home or work. The VOLT is an EV that substantially reduces the gasoline consumption even compared to hybrid vehicles because for typical drivers who drive less than 50 miles per day, no gasoline is used at all. After battery depletion, his VOLT would operate as a reasonably fuel-saving hybrid vehicle.
A strong case can be made for the inefficiency of an EV carrying around 1,000 – 1,200 pounds of batteries when the daily range needs of typical drivers average 40-50 miles per day. Since four or five Plug-in Hybrid batteries can be built from the materials used in just one EV, the vehicle weight can be reduced by having the smaller battery with an efficient range extending engine using fuel only when necessary. Our Gen2 VOLT reports a lifetime gasoline usage of 171.2 MPG and 72 MPGe (Miles Per Gallon equivalent) when the electrical energy used by the battery is calculated along with the gasoline used.
@Tom Pollak
Technology changes all the time and we (Not just the US) subsidize Oil big time.
Fuel Standards are made to go up, if one Technology cannot keep up, then that goes away.
Just ask Kodak and Nokia. Artificially stifling new Technology that will be the dominant (Whether we like it or not) one going forward is insane. Doesn’t matter what Political Party or Country is doing so.
You are basically gifting the lead to China.
Look up the Top 5 Economies in the World. Then ask yourself the following….what do they all have in common!!!
Market share numbers are saying most people don’t think current battery tech is good enough or find charging/public charging undesirable.
The DOE can fund cell chemistry research, without needing to go to market. It’s possible enough influential people think pushing our grid electricity to autos is a wasteful idea in the near-medium term.