GM aims for electric vehicle profitability by 2025 amid challenges in manufacturing and rising demand.

GM's EV Challenges


GM anticipates mid-single-digit pretax profit margins in 2025 for its electric vehicles (EVs).

CFO Paul Jacobson acknowledges challenges in EV manufacturing, particularly at the Ultium Cells battery plant.

GM's current margins on EVs are described as "substantially negative" due to ongoing investments.

The company plans to build capacity for 1 million EVs per year by 2025.

Despite slowing growth in U.S. EV sales, demand for electric vehicles is still rising.

GM is cautious about overproducing EVs and aims to avoid selling them at significant discounts.

The growth rate of U.S. EV sales has slowed from 90% in June 2022 to 50% in October.