Industrial, Sourcing Renewables - June 17, 2021
GM to Increase EV and AV Investments to $35 Billion
General Motors announced June 16 that it plans to increase its investments in EV and AV technology to $35 billion through 2025.
This new commitment represents a 75% increase to the initial one made in early 2020 for $20 billion in investments. The projects will include the development of electric vehicle models and battery and fuel cell technology through GM’s Ultium battery platform.
“We are investing aggressively in a comprehensive and highly-integrated plan to make sure that GM leads in all aspects of the transformation to a more sustainable future,” CEO Mary Barra said in a statement. “GM is targeting annual global EV sales of more than 1 million by 2025, and we are increasing our investment to scale faster because we see momentum building in the United States for electrification, along with customer demand for our product portfolio.”
The increase in investments was fueled by the financial success that GM has had in the last three quarters.
GM plans to build two new battery cell manufacturing plants in the U.S. and commercialize U.S.-made batteries and fuel cells. GM already has an agreement to provide this technology to Wabtec Corporation, a developer of the world’s first 100% battery-powered locomotive.
In addition to the 30 new EV models GM plans to release by 2025, these new investments will also fund the development of new electric commercial trucks.