GM head touts EV-only future — while pouring $1 billion into gas engines



Americans aren't buying them and Trump wants to take away their $7,500 tax credit — but General Motors CEO Mary Barra still thinks electric vehicles are the future.

Never mind the $888 million her own company just poured into gas-powered V-8 engines — Barra seems to think they'll go the way of the dinosaurs sooner rather than later.

Car brands need to pick a lane: Build what consumers want, not what bureaucrats demand.

"I see a path to all EV," she announced at the Wall Street Journal's Future of Everything conference late last month. "I do believe we'll get there because I think the vehicles are better.”

Barra's commitment to phasing out gasoline-powered vehicles by 2035 has made GM one of the frontrunners in the EV race.

Consumer doubts

Meanwhile, actual consumers still bring up the rear. A recent AAA survey reveals that 63% of Americans are skeptical about EVs, citing high costs, higher insurance premiums, and inadequate charging infrastructure.

Then, there's that almost billon-dollar investment in gas-guzzlers. Something tells us Barra's not exactly putting her money where her mouth is.

Can she have it both ways? As some automakers resist the all-EV push and others cling to outdated mandates, the auto industry is at a crossroads. Let’s unpack the contradictory strategy, consumer hesitancy, and the brands charting their own paths in this high-stakes debate.

This could impact the economy, your driving choices, and where you spend your money..

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The rubber meets the road

Barra has positioned GM as an EV leader, boasting, “We have more EVs in the market right now than anyone else in this country.” GM’s lineup includes nine electric models, such as the Chevrolet Equinox EV, Cadillac Escalade IQ, and GMC Hummer EV, with four more planned.

The Equinox EV, priced around $35,000, aims to make EVs accessible to everyone. To support this, GM has invested $35 billion through 2025 in EV and autonomous vehicle development, including a battery cells factory outside Nashville.

In contrast, last December, GM announced it would sell its stake in the Ultium Cells plant in Lansing, Michigan, to LG Energy Solution. Partnerships with EVgo and Pilot Company aim to expand fast-charging stations, with Barra asserting, “Charging is just going to continue to get better.” GM has dropped the “Ultium” brand name for EV batteries.

Hedging bets

Yet, GM’s actions tell a different story. In a surprising move, the company announced an $888 million investment in its Tonawanda Propulsion plant, outside of Buffalo, New York, to produce the sixth generation of V-8 engines for full-size trucks and SUVs.

These engines promise stronger performance, better fuel economy, and lower emissions through new combustion and thermal management innovations.

This follows a $579 million investment in January 2023 to upgrade the Flint Engine plant for the same V-8 engines, marking Tonawanda as the second facility to produce them.

Barra defended the move, saying, “Our significant investments in GM’s Tonawanda Propulsion plant show our commitment to strengthening American manufacturing and supporting jobs in the U.S.” She added that the Buffalo plant, operational for 87 years, will deliver “world-class trucks and SUVs to our customers for years to come.”

This dual strategy raises questions. Is GM truly committed to an all-electric future, or is Barra hedging her bets to meet consumer demand for gas-powered vehicles?

Consumers might argue she’s trying to have it both ways — pushing a government-favored EV agenda while quietly acknowledging that Americans still want gas trucks and SUVs. Barra’s claim of “choice” feels like a nod to market freedom, but it’s hard to ignore the influence of past presidential administrations’ heavy-handed EV mandates.

If GM is serious about consumer choice, why not let the market — not bureaucrats — set the pace?

'No' to top-down mandates

Americans aren’t buying the EV hype. AAA’s latest survey shows only 16% of U.S. adults are “very likely” or “likely” to buy an EV as their next car, the lowest interest since 2019. Meanwhile, 63% are “unlikely” or “very unlikely” to go electric, up from 51% last year.

Greg Brannon, AAA’s director of automotive engineering, noted, “While the automotive industry is committed to long-term electrification and providing a diverse range of models, underlying consumer hesitation remains.”

The reasons are clear: high battery repair costs (62%) and purchase price (59%) top the list. AAA’s "Your Driving Costs 2024" analysis confirms EVs’ higher upfront costs, despite long-term savings. Additionally, 57% see EVs as unsuitable for long-distance travel, 56% cite insufficient public charging stations, and 55% fear range anxiety. Safety concerns trouble 31%, 27% struggle with home charging (especially in apartments), and 12% worry about losing tax credits.

These numbers reflect a market rejecting top-down mandates. Consumers aren’t anti-EV — they’re anti-being told what to buy when the infrastructure and affordability aren’t there. Barra’s EV push aligns with policies mandated by past administrations, but her V-8 investment suggests she knows the market isn’t ready to abandon gas. This contradiction exposes a flaw in centrally planned transitions: You can’t force consumers to want what doesn’t work for them.

Hybrid theory

While GM straddles both worlds, other automakers are rejecting the all-EV narrative.

Toyota has been vocal about its skepticism, focusing on hybrids like the Prius, which deliver fuel efficiency without charging hassles. Toyota’s investment in hydrogen fuel cells for semi-trucks positions it as a pioneer in alternatives to battery EVs.

RELATED: Toyota, Jeep, and the big emissions scam

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Mazda, with its MX-30 EV, prioritizes gas engine improvements and hybrids, citing battery production costs and environmental concerns.

Subaru, offering the Solterra EV, emphasizes hybrids and awaits better charging infrastructure.

Hyundai is navigating the shifting auto landscape with a pragmatic strategy that prioritizes consumer demand over government mandates, a move drivers can applaud. The company’s $7.6 billion Metaplant in Georgia is now expanding to include hybrids, with Kia models joining the lineup in 2026.

Hyundai’s focus on hybrids, like the 2026 Palisade, reflects growing demand for fuel-efficient options that don’t rely on sparse charging infrastructure. Meanwhile, Hyundai continues to produce gas-powered vehicles, recognizing that internal combustion engines still dominate consumer preferences in many markets.

Unlike GM’s Barra, who pushes an all-EV future while investing in gas engines, Hyundai’s approach avoids hypocrisy by openly embracing a mix of EVs, hybrids, and gas vehicles. This flexibility shields Hyundai from policy swings — like potential tariff hikes or the loss of EV subsidies — while giving drivers the freedom to choose what fits their lives, not what bureaucrats dictate.

Stellantis, parent of Jeep, Dodge, Ram, and Chrysler, balances plug-in hybrids like the Jeep Wrangler 4XE with gas vehicles, catering to diverse consumer needs.

These brands are listening to the market, not bureaucrats. By offering hybrids and gas options, they’re giving consumers what they want — freedom to choose — while GM’s $888 million V-8 investment suggests even Barra knows gas isn’t going away soon. In addition, GM currently does not offer a hybrid powertrain in its vehicles.

This resistance to EV mandates reflects buyers' common sense: Let the market, not the government, decide what drives America.

The road to freedom?

Barra’s vision for 2035 is ambitious, but her actions betray uncertainty. GM’s EV efforts for affordable models, batteries, and charging partnerships are serious, but the $1.4 billion combined investment in V-8 engines for Tonawanda and Flint shows she’s not ready to abandon gas.

AAA’s survey proves consumers aren’t convinced, and brands like Toyota, Stellantis, Mazda, Hyundai, and others are betting on hybrids to bridge the gap. Car brands need to pick a lane: Build what consumers want, not what bureaucrats demand.

If you’re eyeing an EV, the lineup is diverse, but AAA’s data urges caution. Can you charge reliably? Can you afford the cost? Does the range work for your life? If not, you’re among the 63% holding back — and that’s your right.

You're in the driver's seat; where you go should be up to you — not bureaucrats.

Auto industry makes a ‘big U-turn’ and cuts the cord on electric vehicles



Electric vehicles were the transportation of the future, until they weren’t.

General Motors has given up on its plan to put $300 million toward electric vehicle motor production and instead is nearly tripling that by putting $888 million into the latest V-8 engines — which not too long ago BlazeTV host Stu Burguiere believed were a thing of the past.

“The story is that GM is now investing in V-8 engines as it backpedals on EVs,” Burguiere tells journalist and automotive expert Lauren Fix. “Now, I bought a car that was supposed to be the last V-8 in this line from GM, thinking to myself, ‘Oh, well I’m going to have the last one, and it would be great to have that.’”

“She did what I call the big U-turn,” Fix says of GM’s CEO, Mary Barra. “She was in some Wall Street Journal conference the other day saying, ‘Oh, electric cars are the future. I still believe in them 100%.’”


“But on the other side, she put $888 million into a plant here in Buffalo, New York — the Tonawanda Engine facility, which is one of the original engine plants — and a total of $1.4 million into the Flint Engine plant to build V-8s, which they’re having issues with,” Fix explains.

“So, I think they need to figure out their V-8s and maybe reduce their electric vehicle footprint because while they’re continuing four more products coming out — as I’ve been saying ... this is a disaster,” she continues.

“I’ve been seeing — and tell me if this is just what I’m seeing on the internet, if this is real — I’m seeing cars with MSRPs of $60,000 being offered at lots, brand new, for $35,000 and $40,000 because they cannot get rid of them,” Stu says.

“That is 100% correct,” Fix says.

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Is the auto industry headed for a crash?



Plant closures in Europe. Layoffs in America. Plunging sales everywhere.

The auto industry is in trouble — and we could all end up suffering the consequences.

EV woes have hit Ford as well. Later this month, the carmaker will suspend operations at its F-150 Lightning EV plant for the rest of year.

Let's start with Volkswagen. The company stands proud as the biggest carmaker in Europe, and it has never closed a factory in its home country of Germany.

Until now.

Punch buggy blues

At the end of October, the company asked workers to take a 10% pay cut as part of an ongoing campaign to cut costs across the VW Group. Industry insiders fear that domestic plant closures — the first in the company's 87-year history — could be next, with up to three German factories shutting down, costing more than 100,000 jobs.

“Management is absolutely serious about all this. This is not saber-rattling in the collective bargaining round,” warned Volkswagen works council head Daniela Cavallo in a speech to employees.

These cuts would reduce the number of domestic plants to seven and cut the workforce by a third.

The plants that do stay open would also endure cost-cutting measures, according to a separate report, with downsizing and wage freezes on the table.

VW aims to save about €10 billion (roughly $10.8 billion USD) by 2026.

Thomas Schaefer, the head of the Volkswagen brand, has previously noted that German factories are operating at between 25% and 50% above targeted costs. This is largely due to Europe’s high energy costs, which German carmakers say are four times higher than in China and the United States.

Compounding this problem are increased competition from Chinese brands and a lack of demand for electric cars.

Volkswagen hasn’t commented on the report, and it hasn’t announced plant closures or layoffs yet.

Previously, Volkswagen had considered buying Audi's struggling EV plant in Brussels. Those plans changed, and with no other suitable buyers on the horizon, the plant may close its doors for good.

The outlook isn't much sunnier stateside, either.

GM feels the heat

General Motors is laying off some 1,000 software workers globally, 600 of whom are employed at its tech center in Warren, Michigan.

In a memo to workers obtained by Automotive News, GM said the cuts were to enable it to “move faster, pivot when needed, and prioritize investing in what will have the greatest impact.”

This is certainly a pivot from the last several years, in which GM has been expanding its software team to help with its electrification and autonomous efforts. The company had predicted that those services could generate $25 billion in revenue by 2030.

While General Motors has claimed that these cuts target "software and service" employees, that's not exactly true. The layoffs come from GM's Ultium division, which is the sub-EV company GM created to differentiate it from its gasoline engine department.

I can confirm that Ultium has let go a number of thermal engineers without warning. Thermal engineers, as you might guess, are crucial to thermal management: keeping EV batteries, power electronic systems, and motors from overheating.

Is this a sign that GM is no longer all-in on electric and is drastically reducing R&D on future EVs?

Sure looks like it.

Ford's loser Lightning

EV woes have hit Ford as well. Later this month, the carmaker will suspend operations at its F-150 Lightning EV plant for the rest of year.

The highly touted electric pickup loses the company $40,000 on each vehicle sold. Hardly sustainable, especially given that Ford's Q3 net income is down 26%, and cost issues have caused it to drop its full-year adjusted earnings projection to around $10 billion.

Mercedes: Bust in class

The luxury car market isn't what it used to be, either.

Mercedes Benz has cut production on its S-Class line in response to declining sales: down 13% in China, 19% in the U.S., and 27% in Europe. The high-end vehicles have been rolling off the company's cutting-edge Factory 56 assembly line in Germany since 2020 — always in at least two shifts.

Now, for the first time since Mercedes opened what it touts as the most modern car factory in the world, one shift will suffice.

The plant also builds the electric EQS as well as Maybach and AMG models. Mercedes will refresh the S-Class next year, so demand could pick back up with a new model.

Ram tough

Stellantis CEO Carlos Tavares has been heaping scorn on his previous U.S. management team and no wonder: Third-quarter sales in North America were a disaster, falling 20%, and down 17% for the year.

That's bad news for iconic American brands Jeep, RAM, Dodge, and Chrysler — and it has investors heading for the exits.

But times are tough all over for the car conglomerate. Sales in Europe fell 17%, with even Maserati relegated to the slow lane with a stunning 60% drop.

Business isn't much better in China, India, and Asia Pacific, where sales fell 30%.

Border run

And in a move that is sure to infuriate the UAW, Tavares plans to move production of Ram's full-size 1500 pickup truck from the U.S. to its Saltillo, Mexico, plant, which already produces Ram heavy-duty pickups and vans.

While Mexico offers lower labor costs, no doubt the move is also to prevent the UAW from choking off production during any future strike. We think that’s the same reason Ford moved part of its heavy-duty truck production to Canada. It’s a game of chess, and both Ford and Stellantis are working to escape checkmate.

For more on the ongoing car industry crisis, check out my video below:

Volvo kills plans for all-electric lineup by 2030 amid industry shift



Volvo has declared that it has abandoned plans to sell only electric cars by the end of the decade. The Swedish auto manufacturer is the latest carmaker to walk back ambitious electric vehicle plans.

Volvo was one of the first automakers to promise an electric-only lineup. However, Volvo has scrapped its plan to sell only electric vehicles – just three years after it pledged it would "become a fully electric car company by 2030."

'It is clear that the transition to electrification will not be linear, and customers and markets are moving at different speeds of adoption.'

Volvo said the company needed to "adjust its electrification ambitions due to changing market conditions and customer demands."

"Going forward, Volvo Cars aims for 90 to 100 percent of its global sales volume by 2030 to consist of electrified cars, meaning a mix of both fully electric and plug-in hybrid models – in essence, all cars with a cord," the car company stated in a press release shared on Wednesday.

Volvo noted, "This replaces the company’s previous ambition for its lineup to be fully electric by 2030."

“We are resolute in our belief that our future is electric,” said Jim Rowan, CEO of Volvo Cars. “An electric car provides a superior driving experience and increases possibilities for using advanced technologies that improve the overall customer experience."

Rowan admitted, "However, it is clear that the transition to electrification will not be linear, and customers and markets are moving at different speeds of adoption. We are pragmatic and flexible, while retaining an industry-leading position on electrification and sustainability.”

Volvo blamed "slower than expected rollout of charging infrastructure, withdrawal of government incentives in some markets and additional uncertainties created by recent tariffs on EVs in various markets" for the lower demand for electric vehicles.

Volvo Cars proclaimed there is a "need for stronger and more stable government policies to support the transition to electrification."

The car company said it expects to feature 50% to 60% of its lineup as electrified vehicles by 2025.

Volvo said the share of fully electric cars in its lineup stood at 26% during the second quarter of 2024, adding that this is the highest level among its premium peers. The car company stated that EVs and hybrid vehicles account for 48% of its lineup.

Volvo is owned by the Chinese car company Geely. Volvo and Geely also own the Polestar EV brand.

Last week, Bloomberg reported that Polestar had suffered $242.3 million in operating losses for the second quarter. Polestar admitted that revenue had dropped 17% to $574.9 million due to “lower global volumes and higher discounts.”

Bloomberg reported, "Once a vanguard of the electric-car movement, Polestar is grappling with high costs and increasing competition from new players, including from China. At the same time, consumer demand for EVs is waning amid high inflation and the end of subsidies in key markets, forcing some carmakers to offer discounts."

Volvo's reversal of ambitious goals of electric vehicles comes at a time when other automakers have dialed back their commitments to EVs.

As Blaze News previously reported last month, Ford Motor Company announced measures to scale back multiple EV plans. Ford killed plans to manufacture a large, three-row electric SUV. The American auto manufacturer also developed a new plan to focus on smaller, cheaper EVs as the future, while hybrid technology will be utilized for powering larger vehicles. Ford will also reduce future capital expenditure plans on pure EVs from 40% to 30%. Ford's EV division is reportedly on pace to lose as much as $5.5 billion this year.

Three years ago, Mercedes-Benz proclaimed it would feature an all-electric car lineup in 2030 "where market conditions allow." However, in February, Mercedes backpedaled and indicated it would continue to manufacture internal combustion engine cars and hybrids well past 2030.

"Spurred on by weaker than expected demand for EVs, this about-face was the most recent indication that the global car industry is growing increasingly pessimistic about an all-electric future," according to Forbes.

Reuters reported in June that General Motors downgraded its 2024 EV production forecast from 300,000 units to 250,000.

Porsche watered down its plans to become an all-electric car company in July.

"The transition to electric cars is taking longer than we thought five years ago," Porsche said in a statement. "Our product strategy is set up such that we could deliver over 80% of our vehicles as all electric in 2030 – dependent on customer demand and the development of electromobility."

According to Edmunds sales data, new car sales of electric vehicles in the U.S. were only 6.8% in May 2024.

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Gretchen Whitmer's Top Aide Helped Pass Funding for EV Battery Plants. Now He’s a Top GM Lobbyist.

George W. Cook III served as the top legislative aide to Gov. Gretchen Whitmer (D., Mich.) while she pushed an historic billion dollar funding package that has largely been leveraged for electric vehicle projects. Now, according to state filings reviewed by the Washington Free Beacon, Cook is a senior lobbyist for General Motors, the Detroit-based automaker that was the first company to benefit from that program, the so-called Strategic Outreach and Attraction Reserve (SOAR). And since Cook left Whitmer's administration, SOAR has doubled in size to $2 billion.

The post Gretchen Whitmer's Top Aide Helped Pass Funding for EV Battery Plants. Now He’s a Top GM Lobbyist. appeared first on Washington Free Beacon.

General Motors to slow electric vehicle production to cut costs after losing nearly $1 billion from auto workers strike



Electric vehicle production is the first section of General Motors to take a hit after the automaker announced nearly $1 billion in losses stemming from a strike by the United Auto Workers union.

On a call with reporters, GM chief financial officer Paul Jacobson revealed that the company has been losing approximately $200 million per week during the strike, totaling around $800 million after the first month of striking, according to the Epoch Times.

A recent announcement that an additional 5,000 union workers would be stepping to the sidelines in Arlington, Texas — the site of GM's largest plant — brings the total number of picketers to 45,000.

This came after GM gave its earning announcement for the third quarter of the fiscal year, noting that net income fell 3.7%. GM still took in $3.06 billion net income, however, with overall revenues rising 5.4% to $44.1 billion despite the strike.

Profit was down 16.9% year-over-year to $3.56 billion.

Although profits have remained massive, the big hit to earnings still caused CFO Jacobson to announce that the auto giant will put the brakes on electric vehicle production.

GM is "moderating the acceleration of EV production to protect our pricing, adjust to slower near-term growth in demand and implement engineering changes that will bolster profits," Jacobson said. But he noted that electric vehicle production remains "as strong as ever."

On the same media call, GM CEO Mary Barra also said that the company planned on reducing electric vehicle product spending while simultaneously slowing the launch of several models in order to cut costs.

Demands from GM's union employees include a wage increase of more than 35%. The company has offered a 23% increase over a 4.5-year contract.

The autoworkers' strike has garnered visits from several high-profile politicians including the president. Biden allegedly offered his support for striking autoworkers at the picket line for just 12 minutes, and he reportedly spoke to UAW members for less than 90 seconds.

Senator Josh Hawley (R-Mo.) also made an appearance, as did President Trump. Trump decided to visit a non-union parts supplier in Michigan where current and former union workers had gathered.

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Corporate America, Outspoken on Black Lives Matter and Ukraine, Offers Muted Response to Terror in Israel

Companies across the Western world were quick to issue statements condemning the Russian invasion of Ukraine and the killing of George Floyd. As Israel reels from the worst terrorist attack in its history, many of those same companies are less outspoken.

The post Corporate America, Outspoken on Black Lives Matter and Ukraine, Offers Muted Response to Terror in Israel  appeared first on Washington Free Beacon.

Among Michigan's Striking Autoworkers, a Tepid Welcome for 'Union Joe'

President Joe Biden on Tuesday received a tepid welcome from striking autoworkers in the Detroit area, with many expressing concerns about his support for electric vehicles.

The post Among Michigan's Striking Autoworkers, a Tepid Welcome for 'Union Joe' appeared first on Washington Free Beacon.

'Union Joe' Biden Teamed Up With GM Chief To Push a Transition to Electric Vehicles. It Could Come Back to Haunt Them.

President Joe Biden praised General Motors chief executive Mary Barra at a 2022 event, saying "we owe you big" for pushing the auto industry towards all-electric production over the next decade. The president’s kind words for Barra, and their decision to team up to back a transition to electric vehicles, could come back to haunt both parties amid a historic United Auto Workers strike.

The post 'Union Joe' Biden Teamed Up With GM Chief To Push a Transition to Electric Vehicles. It Could Come Back to Haunt Them. appeared first on Washington Free Beacon.

Major automakers plan to 'leverage public and private funds' to install electric vehicle charging network around North America



Seven car manufacturing giants are planning a joint effort to bolster electric vehicle charging infrastructure by installing a network of charging locations around North America.

BMW Group, General Motors, Honda, Hyundai, Kia, Mercedes-Benz Group, and Stellantis NV are the companies involved in the plan. A press release notes that the effort will "leverage public and private funds."

"The joint venture will include the development of a new, high-powered charging network with at least 30,000 chargers to make zero-emission driving even more attractive for millions of customers," the press release states. "With the generational investments in public charging being implemented on the Federal and State level, the joint venture will leverage public and private funds to accelerate the installation of high-powered charging for customers."

The plan is for the charging network to run off of renewable energy. It is anticipated that the first charging locations will open next summer.

"The first stations are expected to open in the United States in the summer of 2024 and in Canada at a later stage," the press release notes. "In line with the sustainability strategies of all seven automakers, the joint venture intends to power the charging network solely by renewable energy."

While traditional cars can quickly fill up at gas stations, electric vehicle charging is a much slower process. For instance, while filling up a typical sedan's gas tank may take just a couple of minutes, Tesla, a popular electric vehicle manufacturer, says that Superchargers can provide up to 200 miles of range in 15 minutes.

"The fight against climate change is the greatest challenge of our time. What we need now is speed – across political, social and corporate boundaries," Mercedes-Benz Group CEO Ola Källenius, said, according to the press release. "To accelerate the shift to electric vehicles, we're in favor of anything that makes life easier for our customers. Charging is an inseparable part of the EV-experience, and this network will be another step to make it as convenient as possible."

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