Making money and selling electric vehicles up to this point just don’t really go hand-in-hand. While so much attention has been focused on Tesla’s struggles with ramping up Model 3 production, General Motors has been working on a plan to have a profit margin of some sort on all EVs it sells — and it’s going to do that by 2021.
CEO Mary Barra, who so far has a pretty solid track record for delivering on promises, has declared this will happen. She isn’t giving much in the way of details, which could have everything to do with keeping a strategic edge on the competition. But this is what we do know, thanks to Reuters.
GM looks to continue developing its own battery tech. The Bolt platform, which is scalable, should also keep production costs down. Yes, you guessed it, GM is looking to make some larger EVs, something that’s mostly been missing in the market. Everyone knows that SUVs are big cash cows in the auto industry, so producing something like that would be an obvious way to pump up profits.
Finally, the company will aggressively mass produce EVs in China. That’s the largest car market in the world, and the government there is pushing electrification big time. GM recognizes the big golden opportunities there, and it’s not waiting around to take advantage.
If successful, this is where GM could be a huge threat to Tesla and everyone else.