General Motors is abandoning a self-imposed target to build 400,000 electric vehicles by mid-2024, the latest sign that automakers are concerned about the viability of the market for battery-powered cars.
The Detroit automaker walked back the goal while reporting a healthy third-quarter profit, despite the hit from the continuing United Auto Workers strike. The walkout, which began in mid-September, is now costing GM about $200 million a week in profit.
On Tuesday, the UAW further expanded the walkouts at GM, targeting a 5,000-worker factory in Texas that makes sport-utility vehicles and is among its most profitable assembly plants.
The move on EVs is a surprise one for a company that has bet its future on the technology, anticipating that it will eventually phase out sales of gasoline-powered vehicles next decade. It comes as rivals, including Tesla and Ford Motor, have also raised red flags about consumer demand for EVs and buyers’ willingness to pay a premium for them over traditional models. […]
GM’s income from China—long a steady profit stream for the automaker—fell 42% to $192 million. GM and other global automakers continue to grapple with price pressures and the rise of Chinese brands, especially in EVs.
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