GM delays production of Chevy Silverado, Equinox and GMC Sierra EVs
The automaker wants to ‘protect’ its pricing.
GM announced on Tuesday that it’s delaying production of the Equinox EV, Silverado EV and GMC Sierra EV. Electrek reported on the comments from the automaker’s earnings call, citing a desire to “protect” GM’s pricing while adjusting to shifting EV demand. The company didn’t commit to a specific timeline to resume production, only saying the delay would last “a few months.”
“We are also moderating the acceleration of EV production in North America to protect our pricing, adjust to slower near-term growth in demand, and implement engineering efficiency and other improvements that will make our vehicles less expensive to produce, and more profitable,” GM CEO Mary Barra said in the company’s Q3 earnings call Tuesday.
Barra said the changes “will make our vehicles less expensive to produce, and more profitable” in the long run. She warned that the EV delays would affect Ultium-based models, including the Equinox EV, Silverado EV RST and GMC Sierra EV.
The move comes a week after GM announced it would delay EV truck production (Silverado EV and GMC Sierra EV) at its Orion assembly plant in Michigan until late 2025. GM spokesperson Kevin Kelley said the move was designed to “better manage capital investment while aligning with evolving EV demand.”
The United Auto Workers strike began in September and is the elephant in the room amid GM’s production shakeup. Citing uncertain labor costs related to the strike, the automaker also withdrew its full-year financial guidance. It expects to provide more clarity for investors once new union contracts are signed. “Accepting unsustainably high [labor] costs would put our future and GM team member jobs at risk, and jeopardizing our future is something I will not do,” Barra said.
