General Motors does not expect to build as many electric vehicles as originally planned this year. On Tuesday, General Motors’ Chief Financial Officer (CFO) Paul Jacobson unveiled revised electric vehicle production targets for 2024, scaling back initial projections of 200,000 to 250,000 units, down from an earlier goal of 200,000 to 300,000, as demand for EVs in the US has failed to meet expectations.
At the Deutsche Financial institution International Auto Trade Convention on Tuesday, Jacobson revealed that General Motors (GM) intends to continue producing vehicles in line with demand.
Despite increasing demand for electric vehicles, it’s lagging behind expectations, including those of General Motors.
General Motors now anticipates electric vehicle (EV) production to fall within a range of 200,000 to 250,000 units by 2024. The updated estimate has dropped significantly, now ranging from 250,000 to 300,000, a substantial decrease from the initial projection of 400,000.
The feedback came after CEO Mary Barra referred to 2024 as the “year of execution” earlier this year, aiming to get back on track. Despite promoting 75,883 electrical autos in the previous year, General Motors fell short of its goal to sell 100,000 electric vehicles.
Despite setbacks from software program glitches and freight delays that hindered General Motors’ progress last year, Jacobson expressed optimism in March, saying “I believe most of these are behind us.”
General Motors anticipates scaling back its electric vehicle (EV) production within the United States for 2024.
At a press conference on Tuesday, Jacobson discussed the newly revised 2024 electric vehicle (EV) production target, stating, “On the lower end of that range, and I think it showcases the momentum we’ve gained in the company.”
General Motors anticipates its U.S. electric vehicle (EV) gross sales will account for approximately 8% of total industry volume in 2024, below the 10% forecasted by some analysts.
Despite the immediate challenges, General Motors’ financial chief anticipates that electric vehicles will become consistently profitable at a price point of around $20,000. By the end of 2024, this development is still expected.
General Motors is introducing a range of cutting-edge electric vehicles (EVs) to the market this year. As deliveries enter their final stretch, General Motors is proud to introduce its latest trio of all-electric models: the Chevy Equinox EV, joining the ranks of the Blazer EV and Silverado EV.
General Motors claims that its upcoming Chevrolet Equinox Electric Vehicle (EV), priced at approximately $35,000, will be the most affordable option in its class, boasting an estimated range of up to 300 miles on a single charge.
General Motors is poised to introduce its next-generation Chevrolet Bolt Electric Vehicle in the following year. By 2025, the corporation anticipates its new offering will be significantly more affordable and superior in quality.
The General Motors’ board of directors has approved a $6 billion share repurchase program aimed at boosting the company’s electric vehicle (EV) profitability.
