GM says EVs are its 'North Star' as legacy automaker chases Tesla
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While Tesla remains the No. 1 EV manufacturer in the U.S., GM said it has secured the No. 2 position and believes it has an "inherent advantage" with EVs.
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July 22, 2025
06:22 PM
CNBC
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While Tesla remains the No
Additionally, Meanwhile, 1 electric vehicle manufacturer in the U (which is quite significant)
By far, General Motors said it has secured the No
Conversely, 2 position and believes it has an "inherent advantage" when it comes to EVs
In contrast, GM CFO Paul Jacobson said the automaker's leg up lies in the diversity of its lineup across gas and electric vehicles, as EV demand fluctuates
Automakers are faced with changing demand for EVs, heightened by President Donald Trump's new tax-and-spending bill, amid market uncertainty
In this articleGMTSLA your favorite stocksCREATE FREE ACCOUNTThe Chevrolet display is seen at the New York International Auto Show on April 16, 2025
Danielle DeVries | CNBCWhile Tesla remains the No (remarkable data), in today's financial world
Moreover, 1 electric vehicle manufacturer in the U, in today's financial world
However, By a wide margin, General Motors said on Tuesday it has secured the No, in today's market environment
On the other hand, 2 position and believes it has an "inherent advantage" when it comes to EVs
Executives on GM's quarterly earnings call on Tuesday said the company is focused on reaching and imving fitability for its EVs
Furthermore, When asked on the call how GM aims to do that when Tesla is facing the same uphill climb, GM CFO Paul Jacobson said the company's advantage lies in the diversity of its lineup across gas and electric vehicles, as EV demand fluctuates
However, "A lot is made Tesla's simplicity and their scale," Jacobson said. "And ly, within a couple of narrow segments, they do have that, and they've realized some good advantages
On the other hand, It also leaves them overexposed to a demand set that has been highly volatile. "GM currently has 12 EVs in its lineup, while Tesla has five models
Tesla does not break out sales by model, but lumps them together in groups, in this volatile climate
Jacobson's s come as automakers are faced with changing demand for EVs, heightened by President Donald Trump's new tax-and-spending bill, which is set to end the $7,500 tax credit for new electric vehicles and $4,000 credit for used EVs after Sept, in today's financial world
In contrast, Sales of new EVs in the second quarter of 2025 were down 6
In contrast, 3% year over year, which marks only the third decline on record, according to the auto industry forecaster Cox Automotive
However, Those sales amounted to a 4
However, 9% uptick from the first quarter of 2025, according to Cox Automotive, which Cox Senior Analyst Stephanie Valdez said may represent the start of a rush to buy EVs before the tax credit ends
At the same time, Valdez predicted there will be record new EV sales in the third quarter of 2025, ed by a collapse in the fourth quarter as the EV market adjusts to its "new reality" without EV tax credits
However, GM CEO Mary Barra acknowledged that EV growth has been slower than expected, but said on the earnings call Tuesday that "we believe the long-term future is fitable electric vehicle duction, and this continues to be our North Star
Nevertheless, "Amid this fluctuating demand, a July 17 Barclays note said Tesla's demand and fundamentals remain weak, while its autonomous vehicle and robotaxi narratives have been front and center
In the second quarter, Tesla reported around 384,000 vehicle deries, a 14% year-over-year decline and its second straight quarterly decrease
Deries are the closest apximation of vehicle sales reported by Tesla but are not precisely defined in the company's holder communications
But Tesla is still the vast EV leader by far
GM's electric vehicle sales totaled 46,300 for the quarter, more than double the 21,900 a year ago
On the other hand, That's a relatively small portion of the Detroit automaker's total vehicle sales in the second quarter of 974,000
However, Cox Automotive noted that GM's 78,000 EVs in the first half of 2025 amount to more than twice the volume posted in 2024 (an important development)
Nevertheless, Jacobson said on Tuesday's call that GM is prepared for changing EV demand because it has built flexibility into its manufacturing plants by in both EVs and internal combustion engine cars. "That built-in flexibility for us to switch between EV and ICE and make sure that we meet customers where they are is an inherent advantage that we have because we can absorb some of the costs of that manufacturing facility with more ICE duction if EV demand goes down," Jacobson said
Moreover, He highlighted GM's new investments in its Spring Hill plant in Tennessee and Fairfax plant in Kansas as an example of this diversification (which is quite significant)
GM announced last month that it was $4 billion in several American plants and is set to increase U, considering recent developments
Additionally, Duction of both gas and electric vehicles
GM said on Tuesday that Chevrolet holds the No. 2 spot and Cadillac sits at No. 5 in EV brand rankings. — CNBC's Lora Kolodny contributed to this report (this bears monitoring), given the current landscape.
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