GM delays its 400,000 cars production plans until 2024

Every automaker out there has huge plans for electric cars, they all boast about production numbers, deliveries and new models coming to the market, only to be forced by reality to swallow their pride and admit the EV revolution won’t be that easy.

GM is not immune to this kind of turn-arounds, only in February this year the CEO of GM, Mary Barra, outlined the company’s ambitious plans to manufacture and deliver 400,000 of electric cars in 2023 to the customers in North America. GM planned to make 1 million electric cars in 2025 - those plans are facing a bit of an adjustment.

GM is forced to delay its plans for at least 12 months and the reason is not the usual supply chain constraints or chip shortages. The company is struggling with hiring and training new employees at the battery factory in Warren, Ohio.

According to the statement issued by GM, the hiring and training process of 1,000 new workers is taking much longer than the company anticipated. The battery production started in September this year but the production volumes are far off full capacity and ramp up is painfully slow.

GM is doing rather well, its Q3 results with nearly $42 billion in revenue and healthy profit margins paint a positive picture. The demand for its electric cars is through the roof to the point that the good old and trusted Bolt EV and Bolt EUV are not only staying for longer but getting their production numbers nearly doubled for next year.

What does it mean for the consumers? Unfortunately it means longer waiting times for cars like Equinox EV or Blazer EV. Despite production of the Chevy Silverado and GMC Sierra planned for next year, there may not be enough batteries for full production capacity - that means even lower numbers of electric cars than the company initially planned for.

Plenty of new cars are being unveiled recently but their availability stretches already beyond the next year, it is almost becoming a norm that customers need to wait for nearly 2 years for their chosen EV. Two years is a very long time in the electric car industry, in two years those cars won’t have the latest tech, their prices will most likely change significantly as well. But what else can we do, other than wait?

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