Connect with us

Published

on

As it struggles to keep up with low-cost rivals like BYD, GM expects to suffer a $5 billion blow to its business in China. The multi-billion hit comes as GM rapidly loses market share in the world’s largest EV market.

GM sees $5 billion impact from restructuring in China

GM’s Chinese joint venture, SAIC-GM (SGM), a 50-50 partnership with state-owned SAIC Motor, is facing an over $5 billion impact as it restructures the business.

SAIC-GM revealed in a regulatory filing on Wednesday (via The New York Times) that it expects to write down between $2.6 billion and $2.9 billion in the fourth quarter. The automaker is also expecting another $2.7 billion in restructuring expenses.

According to the filing, GM’s latest measures will include “plant closures and portfolio optimization.” However, no specifics were given about which facilities would be included.

GM is “focused on capital efficiency and cost discipline” as it works with SGM to “turn around the business in China.” The company is close to finalizing a restructuring plan and expects year-over-year (YOY) improvement in 2025.

GM-$5-billion-China
(Source: GM China)

The announcement comes as GM’s market share in China has nearly halved over the past 10 years. GM’s market share in China fell from around 15% in 2015 to just 8.6% last year.

With three straight quarterly losses, GM has lost nearly $350 million in China this year. Its sales are down nearly 20% through the first nine months of 2024.

GM-$5-billion-China
BYD Seagull (Dolphin Mini) testing in Brazil (Source: BYD)

Like most legacy automakers, GM is struggling to keep pace with low-cost EV makers like BYD in China. BYD sold a record 506,804 vehicles in November, its second straight month topping the 500,000 mark. Through the first 11 months of the year, BYD has sold over 3.7 million EV and PHEV models.

BYD surpassed Volkswagen to become China’s top-selling car brand last year, ending the German automaker’s four-decade run.

BYD-2024-delivery-goal
BYD’s wide-reaching portfolio (Source: BYD)

As it expands overseas, BYD is now on pace to surpass Ford in global deliveries, which could make it the sixth-largest automaker globally.

Electrek’s Take

With low-priced EV models, like its top-selling Seagull, starting under $10,000 in China, BYD is squeezing legacy automakers like GM, VW, and Ford out of the market.

As it looks to overcome the new wave of EVs launching in China, BYD is quickly expanding in overseas markets like Southeast Asia, Central and South America, and parts of Europe.

For the first time in Q3, BYD delivered more vehicles than Nissan and Honda. Can it catch up to Ford and other leading global automakers? Although best known for its cheap EV models, China’s auto giant is quickly expanding into new segments like pickup trucks, midsize smart SUVs, and luxury models.

GM’s CEO Mary Barra told Fortune in October that China’s EV price war “has become a race to the bottom with pricing and the level of subsidies.” Barra explained that low-cost loans enable some companies to sell cars at a loss, which puts pressure on foreign automakers like GM.

Meanwhile, in the US, GM sold a record 32,095 EVs in the third quarter, up 60% year over year. The record sales were enough to top Ford and Hyundai, making GM the number two seller of EVs in North America, behind Tesla.

GM said its EV profitability in North America is steadily improving. The company expects to generate between $10.4 billion and $11.1 billion in net income this year.

FTC: We use income earning auto affiliate links. More.

Continue Reading

Environment

Dealers are slashing prices on 2025 Kia Niro EV, nearly 25% off!

Published

on

By

Dealers are slashing prices on 2025 Kia Niro EV, nearly 25% off!

Just like it says on the tin – retailers are advertising killer deals on the fun-to-drive Kia Niro EV, with one midwest auto dealer reporting more than $10,000 off the sticker price of the Niro EV Wind. That’s nearly 25% off the top line price!

SKIP THE STORYget straight to the deals.

The Kia Niro EV gets overshadowed by its objectively excellent EV6 and EV9 stablemates – both of which are currently available with substantial lease cash and 0% APR financing, in fact – but that doesn’t mean it’s not an excellent little electric runabout in its own right.

The last time I had a Niro EV tester, my kids loved it, I liked that it was quicker and more tossable than I expected it to be, and my wife liked the fact that “it doesn’t look electric. It looks normal.” And, with well over 200 miles of real world range (EPA-rated range is 253 miles), it was more than up to the task of commuting around Chicago and making the trip up to the Great Wolf Lodge in Gurnee and back without even needing to look for a charger.

Advertisement – scroll for more content

It’s not the primary family hauler I’d choose – but as a second car? As a primary car for a slightly smaller family (1-2 kids, instead of 3-4)? The Kia Niro EV Wind, with a $42,470 MSRP, seems like a solid, “can’t go wrong” sort of choice. You know?

You won’t even have to pay that much, though. Raymond Kia in Antioch, Illinois is advertising a $42,470 Niro EV for $32,431 (that’s $10,039, or about 24% off the MSRP), and several others are advertising prices in the $33,000 range.

And, while we’re at it:


SOURCE | IMAGES: CarsDirect, Edmunds, Raymond Kia.


Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisors to help you every step of the way. The best part? No one will call you until after you’ve elected to move forward. Get started, hassle-free, by clicking here.

FTC: We use income earning auto affiliate links. More.

Continue Reading

Environment

Lion Electric leaves US school districts stuck with unsafe, broken buses

Published

on

By

Lion Electric leaves US school districts stuck with unsafe, broken buses

Many school districts who used EPA funding to help purchase Lion Electric school buses are now stuck with broken down or unsafe vehicles – but Lion’s new Canadian investors seemingly have no plans to make things right.

“All four Lion buses that we own are currently parked and not being used,” Coleen Souza, interim transportation director of Winthrop Public Schools, told Jay Traugott over at Clean Trucking. “Two of them are in need of repairs which would cost us money which we are not willing to invest in because the buses do not run for more than a month before needing more repairs.”

The story is much the same at other US school districts who deployed Lion Electric buses over the last few years – and the trouble they describe isn’t isolated to a single component or system. One district we spoke to had onboard chargers that failed almost immediately after being plugged into a L2 AC charger. Another that spoke to Traugott reported emergency door gaps, power steering failure, loss of power, and braking issues.

As bad as the revelations of safety and drivability issues and $250 million in unresolved debt have been, it’s the objectively stupid design choices that have been the most shocking.

Advertisement – scroll for more content

“Lion built an auxiliary diesel heater to heat the bus, essentially writing the manual as they went,” explained a school superintendent in the midwest, who asked not to be named. “It was fascinating to watch but there were design flaws with the heater. For example, the intakes pointed downward and we’re driving across rural roads and the intake sucks in that dirt.”

“Using a diesel-powered heater to warm an electric bus also somewhat defeats the purpose of going 100% zero-emissions,” added Traugott.

Despite a new electric school bus rebate and a fresh cash injection from Vincent Chiara, president of Quebec real estate powerhouse Groupe MACH, and Lion director Pierre Wilkie, however, it seems like no help is coming.

It just gets worse and worse


Decommissioned Lion electric buses; via Winthrop Public Schools.

Despite early speculation – some of it my own, in fact – that the new investors would take the Canadian government up on its offer to help subsidize more electric school bus production and honor the company’s outstanding warranty claims, it appears the only vehicle line the new investors are interested in reviving are the the Class 8 electric semi manufacturing operations in Saint-Jérôme, Quebec.

The US school districts who spent tens of millions of taxpayer dollars in the hopes that Lion buses would help decarbonize their fleets and reduce students’ exposure to harmful diesel emissions? Many of them are back to using diesel, while others are trying to get their deposits back so they can buy something else.

Here’s hoping any school districts on the fence for electrification recognize that their are very real, very well-engineered, and very financially sound electric school bus manufacturers out there who can deliver on their promises.

SOURCES: Chicago Tribune, Clean Trucking, Electrical Business.


Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisors to help you every step of the way. The best part? No one will call you until after you’ve elected to move forward. Get started, hassle-free, by clicking here.

FTC: We use income earning auto affiliate links. More.

Continue Reading

Environment

Mitsubishi debuts EV battery swap network for cars AND trucks in Tokyo

Published

on

By

Mitsubishi debuts EV battery swap network for cars AND trucks in Tokyo

Mitsubishi is partnering with Ample and Yamoto Transports to deploy an innovative new battery swap network for electric cars in its Japanese home market — but it’s not just for electric cars. Mitsubishi Fuso commercial trucks are getting in on the action, too!

Despite a number of early EV adopters with an overdeveloped concept of ownership, battery swap technology has proven to be both extremely effective and extremely positive to the overall EV ownership experience. And when you see how simple it is to add hundreds of miles of driving in just 100 seconds — quicker, in many cases, than pumping a tank of liquid fuel into an ICE-powered car — you might come around, yourself.

That seems to be what Mitsubishi thinks, anyway, and they’re hoping they’ll be your go-to choice when it’s time to electrify your regional and last-mile commercial delivery fleet(s) by launching a multi-year pilot program to deploy more than 150 battery-swappable commercial electric vehicles and 14 modular battery swapping stations across Tokyo, where the company plans to showcase its “five minute charging” tech in full view of hundreds of commercial fleets and, crucially, the executives of the companies that own and manage them.

How battery swap works for electric trucks
How battery swap works for electric trucks; via Mitsubishi Fuso.

A truck like the Mitsubishi eCanter typically requires a full night of AC charging to top off its batteries, and at least an hour or two on DC charging in Japan, according to Fuso. This joint pilot by Mitsubishi, Mitsubishi Fuso Trucks, and Ample aims to circumvent this issue of forced downtime with its swappable batteries, supporting vehicle uptime by delivering a full charge within minutes. The move is meant to encourage the transport industry’s EV shift while creating a depository of stored energy that can be deployed to the grid in the event of a natural disaster — something Mitsubishi in Japan has been working on for years.

Advertisement – scroll for more content

Trucks like the eCanter already serve a number of roles throughout the global truck market, including municipal waste collection, regional delivery support, and more.

The pilot is backed by Tokyo Metropolitan Government’s “Technology Development Support Project for Promoting New Energy,” with local delivery operator Yamato Transport testing swappable EVs for delivery operations on both its eCanter light-duty trucks and Mitsubishi Minicab kei-class electric vans.

Electrek’s Take


Fuso eCanter battery swap; via Mitsubishi.

Electrifying the commercial truck fleet is a key part of decarbonizing city truck fleets – not just here in the US, but around the world. I called the eCanter, “a great product for moving stuff around densely packed city streets,” and eliminating the corporate fear of EV charging in the wild just makes it an even better product for that purpose.

Here’s hoping we see more “right size” electric solutions like this one (and more battery swapping tech) in small towns and tight urban environments stateside somewhat sooner than later.

SOURCES | IMAGES: Mitsubishi, Fuso.


Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisors to help you every step of the way. The best part? No one will call you until after you’ve elected to move forward. Get started, hassle-free, by clicking here.

FTC: We use income earning auto affiliate links. More.

Continue Reading

Trending