General Motors Quietly Backs Off Plans To Go All-Electric

General Motors (GM) quietly backed away from its high-profile pledge to phase out gasoline-powered vehicles over the next decade, effectively abandoning the electric vehicle (EV) transition it once championed, E&E News reported Thursday.

In January 2021, shortly after former President Joe Biden took office and before his administration implemented new regulations and tax credits to incentivize the production of EVs, GM announced its plans to transition to an all-electric vehicle lineup by 2035. However, on Tuesday, GM announced that it would invest $4 billion in the production of mostly gasoline-powered vehicles as it backs away from its earlier EV targets, according to E&E News.

Furthermore, to avoid the 25% tariffs on vehicle imports from Mexico imposed by the Trump administration, GM is moving production of around a half-million gasoline-powered vehicles from Mexico to the U.S., E&E News reported.

Sam Abuelsmaid, an auto analyst for a Detroit-area research firm, told E&E that the move means the company is “giving up any hope of achieving that goal.”

GM’s shift follows cooling consumer demand for electric cars, and diminishing federal support for green energy projects under the Trump administration. On Thursday, Trump