GM significantly scales back Chevrolet Bolt production

General Motors (GM) shares fell 4.1% to $77.19, pressured by lower EV production, shrinking U.S. market share, and macroeconomic challenges. GM is producing 75% fewer Chevrolet Bolt EVs than planned, with total production expected to reach 35,000 units before phasing out in 2027, down from an original target of 150,000. The company's U.S. market share slipped to 16.7% in Q3 from 17.4% a year earlier. Elevated Treasury yields and high auto loan financing costs are also impacting the sector.

GM and LG Energy Solution's joint venture, Ultium Cells, will invest $1 billion to expand its Tennessee factory, adding 500 jobs by 2028. The facility will produce lithium manganese rich (LMR) batteries for GM vehicles, which the company says will reduce costs and improve EV economics. GM executives highlight the new battery chemistry as crucial for long-term EV strategy and profitability.

Ultium Cells, a GM and LG Energy Solution joint venture, plans to retrofit a Tennessee plant to produce lithium-manganese-rich (LMR) cells by 2028. The company claims LMR cells offer 33% higher energy density than LFP at similar costs. GM aims to use these cells in future EVs, with a focus on pickups and large SUVs. The project aligns with GM's battery strategy shift, potentially phasing out LFP for vehicles. Investments may reach $1 billion by 2030, creating 500 jobs.

GM Defense received a $697.7 million contract modification for the U.S. Army's Infantry Squad Vehicle program, bringing the total contract value to $915.6 million. The funding covers engineering changes for the ISV-U and its Utility Winch Kit, expanding the vehicle's capabilities for military operations. The Army expects the work to be completed by June 25, 2028. GM Defense is also supplying components for Lockheed Martin's PAC-3 MSE interceptor missile.

General Motors and LG Energy Solution are investing $1 billion to upgrade the Ultium Cells plant in Tennessee for EV battery production. The upgrade, starting this year and set for 2028 completion, will focus on lithium manganese-rich (LMR) cells, offering higher energy density and lower costs. The project aims to create 500 new jobs and strengthen GM's position in the US battery market.

Ultium Cells, a joint venture between LG Energy Solution and General Motors, will upgrade its Tennessee plant to produce lithium manganese-rich (LMR) batteries, offering 33% higher energy density than LFP batteries at a comparable cost. The $1 billion investment by 2030 will create 500 jobs and expand the plant's output for EVs and energy storage. LMR batteries use less expensive metals like cobalt, helping reduce costs. Production is expected to start in 2028.