Beautiful Virgin Islands

Monday, Aug 04, 2025

GM CEO Barra says electric vehicles to be profitable by 2025

GM CEO Barra says electric vehicles to be profitable by 2025

General Motors says it expects its portfolio of electric vehicles to turn a profit in North America by 2025 as it boosts battery and assembly plant capacity to build over 1 million EVs per year.
CEO Mary Barra used the pledge to kick off the company’s investor day event Thursday in New York.

The profit figure includes vehicle sales revenue, benefits from emissions tax credits, and revenue from software and parts sales, she said.

Barra said the company’s EV portfolio appeals to a broader range of customers than the competition, in a lineup that includes a small SUV for around $30,000, plus a luxury SUV, pickup trucks, and Hummer SUVs in the next two years.

The Detroit automaker has a goal of selling only electric passenger vehicles by 2035.

GM is sticking by a pledge made by Barra to sell more EVs in the US than market leader Tesla by the middle of the decade.

“Our commitment is to lead the industry,” Chief Financial Officer Paul Jacobson told reporters ahead on the investor day event. “We believe that with the infrastructure that we put in place and the vehicles that you’ll see today, we’ll be able to get there.”

The 2025 profit prediction is on a pretax basis that includes the capital costs of building battery factories and converting internal combustion plants to electric vehicles.

Jacobson said it will take time for individual electric vehicles to get to “low- to mid-single digit” profit margins in 2025 as costs are spread over more vehicles.

EV profit margins will go higher once clean energy tax credits from the federal Inflation Reduction Act are applied, Jacobson said.

GM customers, he said, should be able to get half the $7,500 federal EV tax credit next year, reaching the full credit by mid-decade. To get the credits, EVs and batteries must be built in North America, with battery minerals sourced on the continent.

Despite economic volatility and the possibility of a downturn, GM appeared more confident in this year’s financial results, saying Thursday it expects full-year pretax income to be $13.5 billion to $14.5 billion. That’s within the previous guidance range of $13 billion to $15 billion.

GM also said its Brightdrop commercial vehicle unit, which is making electric vans and carts, will contribute over $1 billion of revenue next year.

Shares of GM rose slightly Thursday as the broader markets declined.

The company says its modular Ultium EV architecture is flexible enough to allow multiple battery chemistries and cell sizes, and it can handle multiple vehicles. That’s one reason the company says the next two years put it on a path to double revenue by 2030.

Doug Parks, product development chief, said EVs are much simpler to build than internal combustion vehicles. For example, the Chevrolet Silverado EV has
45 percent fewer parts than its combustion equivalent, he said.

As for the new vehicles, GM will roll out an all-electric version of the Chevrolet Corvette next year, President Mark Reuss said.

“This will again set the standard of the world for performance,” he said.

Reuss gave glimpses of other new or revamped GM vehicles that are coming in the next two years. New internal combustion vehicles will be based on the existing underpinnings, saving costs, yet allowing the company to do significant upgrades, he said.

Among the revamped or new entries next year are the Chevrolet Traverse three-row SUV, as well as a new Buick SUV, and a revamped Chevrolet Trax small SUV starting around $19,000.

In 2024, GM will redo the three-row GMC Acadia SUV, making it more truck-like, Reuss said. Then it will revamp the internal combustion version of the Chevy Equinox small SUV in the biggest market segment in the world.

For electric vehicles next year, GM will revive the Buick Electra name for a new SUV that will go on sale first in China, then in the US Then comes the Cruise Origin, a multi-passenger vehicle built for the company’s ride-hailing service, and a Cadillac compact SUV.

Among the 2024 EVs is the GMC Sierra full-size pickup., a full-size Cadillac SUV, and full-size Buick and Chevrolet electric cars mainly for China.

Reuss also said GM is revamping the way customers buy electric vehicles, giving them the option of fully purchasing online or at the dealership and saving the company $2,000 per vehicle.

Rather than dealers holding huge inventories, they would keep fewer vehicles on lots. When a customer orders an EV, it would come from three US distribution centers, two in California and one in George. They would stock vehicles with popular equipment combinations and allow deliveries in as little as four days, Reuss said.

The system would automate a lot of financing and insurance costs. The $2,000 savings would go to GM.

Reuss also took a shot at US electric vehicle sales leader Tesla, telling analysts that more than 11,000 Tesla owners had vehicles serviced at a GM dealership.

He said the dealer network is a big competitive advantage.
Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
OpenAI’s Bold Bet: Teaching AI to Think, Not Just Chat
Tesla Seeks Shareholder Approval for $29 Billion Compensation Package for Elon Musk
Nvidia is cutting prices on its RTX 50-series graphics cards after sales slowed and inventories piled up
Ghislaine Maxwell Transferred to Minimum-Security Prison Amid Ongoing DOJ Discussions
U.S. Tariffs Surge to Highest Levels in Nearly a Century Under Second Trump Term
Matt Taibbi Slams Media for Role in Russiagate Narrative
Pilots Call for Mental Health Support Without Stigma
All Five Trapped Miners Found Dead After El Teniente Mine Collapse
Ong Beng Seng Pleads Guilty in Corruption Case Linked to Former Singapore Transport Minister
BP’s Largest Oil and Gas Find in 25 Years Uncovered Offshore Brazil
Italy Fines Shein One Million Euros for Misleading Sustainability Claims
JPMorgan and Coinbase Unveil Partnership to Let Chase Cardholders Buy Crypto Directly
Declassified Annex Links Soros‑Affiliated Officials and Clinton Campaign to ‘Russiagate’ Narrative
UK's Online Safety Law: A Front for Censorship
Nationwide Protests Erupt in Brazil Demanding Presidential Resignation
Parents Abandon Child at Barcelona Airport Over Passport Issue
Mystery Surrounds Death of Brazilian Woman with iPhones Glued to Her Body
Bus Driver Discovers Toddler Hidden in Suitcase in New Zealand
Switzerland Celebrates 734 Years of Independence Amid Global Changes
U.S. Opens Official Investigation into Former Trump Prosecutor Jack Smith
Leaked audio of Canada's new PM Mark Carney admitting the truth about the Net Zero agenda: "We're gonna make a lot of money off of this."
China Enforces Comprehensive Ban on Cryptocurrency Activities
Absolutely 100% Realistic EVO Series Doll by EXDOLL (Chinese Company) used mainly for carnal purposes
World Economic Forum founder Klaus Schwab: "In this new world, we must accept... total transparency. You have to get used to it. You have to behave accordingly. But if you have nothing to hide, you shouldn't be afraid."
Meet Mufti Hamid Patel, head of Office for Standards in Education in Pakistan
George Soros tells the World Economic Forum: "President Trump is a con man and the ultimate narcissist, who wants the world to revolve around him."
Hamas are STARVING the hostages.
Decline in Tourism in Majorca Amidst Ongoing Anti-Tourism Protests
British Tourist Dies Following Hair Transplant in Turkey, Police Investigate
Poland Begins Excavation at Dziemiany After New Clue to World War II‑Era Nazi Treasure
WhatsApp Users Targeted in New Scam Involving Account Takeovers
Trump Threatens Canada with Tariffs Over Palestinian State Recognition
Trump Deploys Nuclear Submarines After Threats from Former Russian President Medvedev
Trump Sues Murdoch in “Heavyweight Bout”: Lawsuit Over Alleged Epstein Letter Sets Stage for Courtroom Showdown
Germany Enters Fiscal Crisis as Cabinet Approves €174 Billion in New Debt
Trump Administration Finalizes Broad Tariff Increases on Global Trade Partners
J.K. Rowling Limits Public Engagements Citing Safety Fears
JD.com Launches €2.2 Billion Bid for German Electronics Retailer Ceconomy
Azerbaijan Proceeds with Plan to Legalise Casinos on Artificial Islands
Former Judge Charged After Drunk Driving Crash Kills Comedian in Brazil
Jeff Bezos hasn’t paid a dollar in taxes for decades. He makes billions and pays $0 in taxes, LEGALLY
China Increases Use of Exit Bans Amid Rising U.S. Tensions
IMF Upgrades Global Growth Forecast as Weaker Dollar Supports Outlook
Procter & Gamble to Raise U.S. Prices to Offset One‑Billion‑Dollar Tariff Cost
House Republicans Move to Defund OECD Over Global Tax Dispute
Botswana Seeks Controlling Stake in De Beers as Anglo American Prepares Exit
Trump Administration Proposes Repeal of Obama‑Era Endangerment Finding, Dismantling Regulatory Basis for CO₂ Emissions Limits
France Opens Criminal Investigation into X Over Algorithm Manipulation Allegations
A family has been arrested in the UK for displaying the British flag
Mel Gibson refuses to work with Robert De Niro, saying, "Keep that woke clown away from me."
×