General Motors investing further in EVs and automated vehicles

General Motors investing further in EVs and automated vehicles

General Motors (GM) is planning to increase investment in electric cars and automated driving vehicles by 2025 – from a previous 27 billion to 35 billion US dollars, according to a media report.

In November last year, GM announced its intention to increase investment in electric vehicles, as well as automated driving vehicles, from 20 to 27 billion US dollars by 2025. With this comes the prospect of 30 pure-electric models worldwide and electric car sales of 40% by 2025.

Reuters has now reported that GM wants to add another eight billion dollars to the investment, citing people privy to the plans. Interestingly, US competitor Ford announced its intention to increase e-mobility spending by eight billion dollars to a healthy 30 billion dollars by 2030 less than a month ago.

Part of GM’s additional investment is to flow into two more battery factories in the USA, according to various media. The Associated Press, for example, reports that the plans for these additional battery factories will be announced officially this week, citing statements by GM President Mark Reuss. However, according to other sources, the company has not yet decided exactly where the plants will be built.

Together with LG Energy Solution, GM is already building a battery plant in northeast Ohio. Ultium Cells, the joint venture of the two companies, plans to build a second plant in Spring Hill in the US state of Tennessee, with the opening of the 2.3 billion dollar factory planned for 2023. GM wants to completely abandon the internal combustion engine by 2035 in favour of electric models.

Meanwhile, GM offshoot Cruise has presented the first nearly 100 pre-production models of its Cruise Origin. The Origin is designed for driverless use and so does not provide a traditional seat for the driver. Instead, up to six passengers will sit opposite each other in a three-by-three seating configuration.

The pre-production models will undergo an intensive validation and testing process this summer, according to Cruise. To commercialise the vehicles, the company says it has received a five-billion dollar line of credit from GM Financial. Production for the autonomous electric pod is currently being set up at GM’s ‘Factory Zero’ in Detroit-Hamtramck.

Olly Goodall

Author:Olly Goodall
Date Updated:17th Jun 2021

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