GM’s share of the US electric vehicle market doubled in the fourth quarter as the new Chevy Equinox EV became a top seller. With new electric Cadillac SUVs arriving this year, GM sees more growth opportunities in 2025. Meanwhile, it will likely face a few headwinds. Here’s what to expect.
GM’s EV sales climb in 2024, driven by new Equinox
After releasing Q4 2024 earnings on Tuesday, GM claimed to be the “fastest-growing high volume EV manufacturer” in the US.
GM’s share of the electric vehicle market doubled over the year as it scaled up production of new models. By the second half of 2024, GM had surpassed Ford to become the second-largest seller of EVs in the US behind Tesla.
New models, like the electric Chevy Equinox and Blazer, contributed to GM’s higher EV sales. With sales surging 85% in Q4, the new electric Chevy Equinox was among the top five best-selling EVs in the US.
Other electric vehicles, including the Cadillac Lyriq and GMC Hummer EV, had their best sales quarters since launching.
With plans to offer “EVs for everyone,” GM now offers models across nearly every segment “at multiple price points,” including lower-cost (Chevy Equinox EV), luxury (Cadillac Lyriq), pickup trucks (Chevy Silverado EV, GMC Sierra EV Denali), and more.
Although GM does not provide a separate breakdown for electric vehicles, the company did say it achieved a positive variable profit in the fourth quarter.
GM Q4 2024 earnings and financials
CFO Paul Jacobson told reporters (via Reuters) that GM slightly missed its goal of producing 200,000 EVs in North America, ending 2024 at 189,000 units wholesale. However, it did manage to reduce EV inventory from 100 days in Q3 to 70 days in the fourth quarter of 2024.
The company expects EV operating losses to improve by about $2 billion, the lower end of its $2 billion to $4 billion target. That’s based on its EV wholesale estimate of around 300,000 units.
GM said average transaction prices across all vehicles were over $50,000 “with incentives below the industry average.”
GM posted fourth-quarter revenue of $47.7 billion, up 11% year over year. However, the company reported a net loss of $3 billion due to its restructuring in China. GM said Q4 net income was reduced by over $5 billion in special charges, including $4 billion for the restructuring in China and $500 million to halt its Cruise robotaxi business.
Despite the loss, GM expects losses to narrow in 2025 with improving EV profitability, a revamped China business, and its decision to end Cruise.
New electric Cadillacs, like the Escalade IQ, Optiq, and Vistiq, the luxury brand, will offer an an EV in every segment.
GM sold 114,432 electric vehicles in 2024, outpacing Ford, which sold 97,865 EVs last year. In the fourth quarter, GM’s share of the US EV market reached 12.5%, up from 6.5% in Q1 2024.
Electrek’s Take
Top comment by Anupreet Singh
GM had a solid year and beat expectations. A one-time restructuring charge for China operations and Cruise was expected. But the stock got pummeled today. Down 10%.
Meanwhile, Tesla last Q missed expectations, sales declined, and the stock increased—definition of meme stock.
Despite the optimism, GM could face some major headwinds this year. With Trump threatening to end federal EV subsidies and funding for US battery production, GM could be one of the most heavily impacted with significant investments.
In addition, Trump is now threatening to impose new tariffs on imports from key US trade partners, including Mexico and Canada, where GM has several manufacturing plants.
GM has already begun moving inventory from Mexico and Canada. Will it be enough to maintain growth in 2025?
The automaker acknowledged that “there is uncertainty over trade, tax, and environmental regulations” that are not factored into its guidance.
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