GM writes down $6 billion of EV debt

[Garyl]

https://www.reuters.com/business/au...e-6-billion-writedown-ev-pullback-2026-01-08/

Sponsored

 

[duncanmclain]

Stellanis just annouced more or less the samething earlier today. It's very frustrating too see manufacturers walking away from EV's.

 

[WXman]

Any smart business will go to where the money is. Not only are these huge automakers far more profitable selling ICE vehicles, but the shear number of suppliers and people they employ who make the parts for ICE vehicles constitues a giant part of our economy and provides a great living wage for families.

 

[gheron75]

Down the road, this is going to come back to haunt us, when the rest of the developed world has built EV infrastructure and transitioned heavily to EVs. Our country (myself included at times) is so driven by profit and gratification in the short-term.

 

[TaxmanHog]

Idealisms are worthy of striving for at a rational pace which doesn't corrupt fiscal stability.

 

[MaintGrl]

Making a nice Lunch plate for China....

 

[22legit2quit]

A lot of hype nonsense out of Detroit. Or wherever these are all made. This will be one of those silent failures like our railways. We had one of the most robust railways and let it goto rot with regard to transportation. Interstates came and the corporate greed machine latched onto the need for freedom of mobility. This reminds me of the Jerry reed song “lord Mr. Ford”, I’m sure someone on here has heard that and if you haven’t give it a few plays on that high tech radio in your lightning.

 

[hturnerfamily]

while I'll never 'go back' to an ICE-only vehicle, knock on wood... I also don't see the relevance of constantly comparing China or Japan or India or most any other 'country' and their vehicle infrastructure to ours... the US is unique - we want LARGE vehicles, and we want to drive AS FAR AS WE CAN at the drop of a hat, without any range anxiety or concerns for fuel or, honestly, many times without a second of 'planning'... most no other country's people drive in such a fashion.

so, whether 'China' continues along an 'EV only' path, or we do the same here, is, well, neither here nor there. If 'China' builds a good product, and it is allowed to be imported here, and is at a price that can be swallowed by American buyers, then they will sell some here, for sure - just like Honda and Toyota did back in the 60's and 70's when most of us, at the time, thumbed our noses at their tiny little cheap cars, and, frankly, those that owned them.
But, what is different today is different today: Range or Charging anxiety is not solved by a Chinese import. Charging options 'at home' is not solved by a Chinese import. Even Ford, Chevy, or Jeep building a smaller cheaper longer-range vehicle is also not necessarily going to win over the the American buyers, for the same exact reasons.

Ease-of-charging, and FAST charging, in ALL situations and places, is the only answer, at least for U.S. market.

The vast American buyers of 'cheap' small sedan cars have a struggle, in our current infrastructure, to be able to own an EV with the benefits of owning an EV: Charging where you park 99% of the time.
Apartments dwellers are not going to work.
Renters of homes and other places who cannot install their own 240v outlets, are not going to work.
Those with street parking are not going to work.

It's easy for those of us with carport, garages, and who own our own homes and even those of us who can do the work ourselves, to sometimes easily gloss over the struggle that others have who might want to own and drive and EV, at least easily, but have a much harder UPHILL battle to have the same outcome.

Tesla's original idea that Superchargers were the way to sway the buying public was smart, and has paid off, to a great degree: Tesla may need to come up with a way to do the same for the 'at-home' charging infrastructure.
It's great to have Tesla EVSE options, and Tesla 'Destination' chargers, for sure, but the placement, location, installation, and usage compatibility of the EVSE device is the largest hurdle for most new EV buyers to contemplate.
Can you imagine what the environment would look like if every parking lot at every apartment complex had not only a row of dedicated Tesla or similar EVSE pedestal/outlets at every other parking space, but even those spaces CLOSE to the door? Or the ability to easily and quickly INSTALL or connect a 240v outlet or dedicated Pedestal to every space?
Suddenly, apartment dwellers might have a different view of their vehicle options.

 

[csukoh78]

Any smart business will go to where the money is. Not only are these huge automakers far more profitable selling ICE vehicles, but the shear number of suppliers and people they employ who make the parts for ICE vehicles constitues a giant part of our economy and provides a great living wage for families.

Any smart business will go to where the money is. Not only are these huge automakers far more profitable selling horse-drawn buggies, but the sheer* number of suppliers and people they employ who make the parts for horse-drawn buggies constitutes* a giant part of our economy and provides a great living wage for families.

Fixed it for you.
EVs are the future and the world is leaving us in the dust. If the current administration wanted to cripple the US in nearly every aspect of world competition, it'd be hard to detail how they would do anything different than they are doing right now.

 

[hturnerfamily]

I also think the public perception of the 'HYBRID or EREV' answer is due to the 'comfort' that you don't have the RELY on at-home or public charging. We are accustomed to a gas station on every corner, and new ones being built every day, still.
The public doesn't understand charging.
Honestly, they don't want to.

 

[MaintGrl]

Any smart business will go to where the money is. Not only are these huge automakers far more profitable selling horse-drawn buggies, but the sheer* number of suppliers and people they employ who make the parts for horse-drawn buggies constitutes* a giant part of our economy and provides a great living wage for families.

Fixed it for you.
EVs are the future and the world is leaving us in the dust. If the current administration wanted to cripple the US in nearly every aspect of world competition, it'd be hard to detail how they would do anything different than they are doing right now.

Thank You!

 

[Lytning]

With absolutely no political party insinuation ... I personally believe that the excess production capacity of EV's was caused by the U.S. government push, which created the perception of more customer demand for EV's than actually existed.

Profitability will ultimately be determined by providing customers what they demand, when they demand it, and at a price they are willing to pay ... in addition to good business management. Central planning of products for consumers almost always fails. Central government planning does not work for food in Russia, or automobiles in the U.S.

Let the market create the pull, versus the government trying to push it. That is how free enterprise works.

 

[dandeliongo]

They invested so much money into the infrastructure, why completely write it off? I get the demand isn't what they thought it was, but throw that much already invested money away?

 

[Lytning]

They invested so much money into the infrastructure, why completely write it off? I get the demand isn't what they thought it was, but throw that much already invested money away?

They do the write-offs to show a loss to offset profits, and minimize or totally eliminate payment of income taxes.

 

[Mal106]

Amazing that one month can cause a decision that in one day sacrifices years of R&D, testing etc. that will take years just to get back to this point. I fear the pen---- err accountants shot from the hip and amputated to stop the bleeding.

Sponsored