As you might have noticed, electric vehicles are not all they’ve been cracked up to be. Major manufacturers like General Motors are taking a rather massive step back.
For GM, this was announced on Wednesday, according to The Wall Street Journal.
Like most automotive producers, GM initially jumped onto the EV bandwagon, believing that they are the future of transportation. And to be sure, they still may be. However, the company, along with most others, has been forced to notice of late that their original timeline and production plans for EVs just aren’t practical.
Why?
Well, simply put, Americans aren’t buying them.
Despite continued efforts from the liberal left and climate change fanatics, EVs just aren’t taking off the way car manufacturers like GM supposed. With thousands already made and left just sitting on car dealers’ lots, there’s been a major hit to their bottom dollar.
And so GM, in particular, is changing direction a bit.
According to the Journal, GM is not only going to step back from some of its EV plans, but they are also going to buy back a massive amount of stock.
If you haven’t noticed, their stock isn’t doing so well, as EVs continue to be dud in the marketplace. This year alone, GM stock has fallen 14 percent and hit a three-year low just this month. Of course, part of that is due to recent auto worker strikes.
But most is due to failed EV projections.
As the Journal reported, “(CEO Mary Barra) is trying to jump-start GM’s flailing shares while also refocusing investors on the underlying strength of its main business: selling gas- and diesel-powered trucks and SUVs.”
As Barra recently told shareholders, their internal combustion engine business is still “strong.” Americans are still buying these vehicles all the time.
And so, the shift will be to return focus to these vehicle types instead of EVs or self-driving cars.
As the Journal reported, GM will use funding once allocated to building a new electric truck factory as well as monies meant to produce 400,000 EVs by 2024. Those goals have now either been delayed (the factory) or pulled completely.
Additionally, the company has halted its Cruise self-driving car project.
EVs still may be the future. But as GM has recently figured out, the future isn’t here yet.
