GM and Honda End Partnership on Affordable Electric Vehicles

GM and Honda End Partnership on Affordable Electric Vehicles

A Shift in Strategy as GM Faces Hurdles in EV Market

This decision comes on the heels of General Motors’ third-quarter earnings call, where the company faced some challenges in its electric vehicle ambitions. Slowing sales growth, rising labor costs, and an uncertain economic outlook led to the abandonment of the goal to build 400,000 EVs between 2022 and mid-2024. Additionally, the launch of the Chevrolet Equinox EV was postponed for a few months.

GM also faced delays in the production of certain electric models at its Orion Assembly plant in Michigan, raising concerns about the company’s ability to scale up the production of its battery-powered vehicles.