That’s why GM’s electric vehicle push is a big risk

That's why GM's electric vehicle push is a big risk

Some auto industry analysts believe that while General Motors’ aspiration to stop selling gasoline cars by 2035 could drastically reduce its overall market share, it won’t boost sales.

As electric cars are in vogue and companies like Tesla command stock prices that might envy a historic automaker, auto insiders continue to worry about the extent to which the world is likely to shift to fully electric vehicles. is ready. Companies that survey car buyers often say that many are still concerned about range and charging times of vehicles, for example.

GM, America’s largest automaker, has said its plan to phase out tailpipe emissions by 2035 is a goal, not a guarantee. Still, it is making a big leap into pure electric vehicles, as more than 30 new models are expected by 2025.

GM’s plan does not include hybrids, which mix internal combustion engines with electric power, and which many see as an important bridge between traditional fuel-powered cars and electric cars.

“They’ve made a commitment to go all-electric, not to hybridize, not to plug into hybrids, and to go straight to electric vehicles,” said Michelle Krebs, automotive analyst at Cox. “So it’s a huge risk. It’s daring, it’s very ambitious. And the risk is, well, you know, can they do it when they do, especially with the border costs and the infrastructure issues in light of?

The auto industry appears to be divided among companies spreading their investments across different powertrains, such as internal combustion engines, electric motors, and hybrids. Some automakers, like Toyota, are investing in other alternative powertrain technologies, such as hydrogen fuel cells.

Certainly, there are some factors in GM’s favor.

Its Ultium battery technology, which was created in collaboration with LG Chem, has impressed many in the industry. GM says batteries use much less cobalt and other materials than competing batteries, drastically reducing costs to a level that can make electric cars competitive and profitable. Box-shaped “pocket” cells can be stacked in a variety of ways to accommodate a variety of vehicle designs.

GM is also launching electric vehicles in categories that have been successful for the company, such as full-size trucks and sport utility vehicles.

Finally, GM has long embraced technologies such as pollution-filtering catalytic converters in engines that can shut down cylinders to improve fuel mileage.

However, some of these technologies have not resonated with customers, and it could happen again. So GM is trying to create the product that the pilots will actually want.

“I think that’s one of the keys,” said Sam Abuelsamid, senior analyst at Guidehouse Insights. “The products that are coming out that have not yet been publicly announced are the ones that I think will be the most attractive to the market; the kind of vehicles that consumers really want to buy today.

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