With Electric Cars on the Rise, Multinational General Motors Will Invest US$ 7 Billion in Its Zero-Emission Vehicle Division

The Main Electric Cars That General Motors Should Invest In Are SUVs

With the goal of expanding the offering of electric car models, General Motors (GM) announced that it will invest US$ 7 billion (approximately R$ 37 billion at the current exchange rate) in its zero-emission vehicle division. The automaker will prioritize pickups and work vehicles, investing in developing its own batteries as a way to stand out in the emerging automotive market.

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According to information published by The New York Times, the fuel cells of General Motors will be manufactured at the factory in Michigan. For the Detroit headquarters, the company will allocate funds to manufacture the new electric pickups of the brand, such as the Chevrolet Silverado and the GMC Sierra, not to mention the new models that are still in development.

Only Electric Cars

With the new billion-dollar investment from General Motors, the goal of eliminating combustion cars from its productions by 2035 is becoming increasingly closer. Unlike Europe, the United States does not yet have assertive legislation regarding electric cars; however, the automaker is already investing in the project in advance.

The focus of General Motors will initially be based on the main category purchased by Americans: pickups, which represent over 40% of market share. In addition, the city of Michigan, which will receive the largest financial investments, will account for over 4,000 direct jobs in the region, stemming from GM’s investments.

Considering the recent clashes faced between General Motors and LG, investing in the development of its own batteries will be of great value to the automaker. Despite this, the Korean company remains responsible for the batteries of the Chevrolet Bolt, GM’s current main electric car, and will collaborate on improvements at the Michigan factory.

“Today we are taking the next step in our ongoing work to establish GM’s EV leadership by investing in our vertically integrated battery production in the U.S. and our EV production capacity in North America,” said Mary Barra, GM’s Chair and CEO.

With the capital invested in the electric car project, General Motors will distribute funds among factories for factory upgrades aimed at greater efficiency, new body and paint shops, as well as new general assembly and battery sectors and overall plant updates.