"Throughout the 2020s automakers moved fast and spent big on EVs. Billions of dollars flowed into retooling factories, developing new models and locking in battery manufacturing contracts. After the Trump administration and Congress targeted pro-EV policies last year, that momentum began to sputter. Automakers embarked on an expensive retreat as they unwound some of their EV investments and refocused on combustion. For General Motors, that pullback has come with a hefty price tag."
"The company booked $7.1 billion in charges in the fourth quarter of last year, according to a Thursday SEC filing, much of it a result of reversing EV plans. The automaker attributed $1.1 billion to costs associated with the restructuring of its China joint venture, where it operates under the SAIC-GM banner. The bulk of the hit, about $6 billion, had to do with pumping the brakes on EVs in North America."
Automakers invested heavily in EVs during the 2020s, retooling factories and securing battery contracts. Policy shifts, including termination of certain consumer tax incentives and relaxed emissions regulations, reduced North American EV demand in 2025. General Motors booked $7.1 billion in fourth-quarter charges tied to reversing EV plans, including about $6 billion for reduced North American EV capacity and $1.1 billion for restructuring its China joint venture. GM previously recorded a $1.6 billion charge for slowing EV sales. The company pivoted its Orion, Michigan assembly plant from EV production to full-size internal-combustion SUVs and pickups where demand remains unmet. China proposes increased oversight to curb battery manufacturing overcapacity. Several automakers plan to reveal new EV models at the Brussels Motor Show.
Read at insideevs.com
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