General Motors will substantially accelerate its investment in electric cars and autonomous vehicle technologies, the company announced Wednesday. The Detroit automaker will ramp up its investments from a previously announced $20 billion to $35 billion through 2025. A portion of that funding will go towards the creation of two additional lithium-ion battery cell plants in North America, doubling today's total.
"GM is also announcing two new Ultium battery cell plants in the US, in addition to our plants that are already under construction in Ohio and Tennessee," GM's CEO Mary Barra said in a statement on LinkedIn. The automaker did not disclose where those plants will be located.
The $35 billion investment total is a dramatic ramp up from the figure announced in March 2020 (largely prior to the) and that amount pushes GM's planned investments past those of arch-rival Ford, which has committed $30 billion to EVs and AVs over the same time period.
The news comes amidst increasing profit projections for this year, despite the pandemic and the, which has been hurting production of new vehicles. According to a GM press release, the company expects its second-quarter profits to be $3 to $4 billion higher than earlier estimates. The company is now targeting first-half earnings of $8.5 billion to $9.5 billion before interest and taxes, up from $5.5 billion.
As part of the announcement, GM also confirmed it will launch a third generation of Hydrotec fuel cells by "mid-decade," as part of a joint-venture agreement with Japanese automaker Honda.
worldwide. At present, however, it only offers the recently refreshed Chevrolet Bolt EV and its new crossover derivative, the Bolt EUV. The automaker has already revealed other new EVs, including the (shown above) and the .
GM has already confirmed its electric transformation won't just be for everyday new consumer vehicles. Among its other battery-powered power plays, the company previously revealed a CES 2021, the automaker also confirmed it is pursuing developing flying vehicles, including an , which could carry Cadillac branding.that's . In January at
GM stock is up over 2.5% as of publication.