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Mary Barra, CEO of General Motors, “Full Pursuit of Global EV Leadership”

Image: CEO Mary Barra. Source: General Motors.

Ben Clayman, Joseph White

Detroit (Reuters)-General Motors CEO Mary Barra says Detroit carmakers are accelerating “the full pursuit of global EV leadership” and spending on electric vehicle leader Tesla He said he is trying to increase and speed up the automobile production target.

At a Barclays-sponsored conference, GM said it plans to offer an entire lineup of less than $ 30,000 to over $ 100,000 in electric vehicles with the goal of “putting everyone in an electric vehicle.”

EVs could help GM increase annual sales of 280,000 units in the United States in a coastal state where GM’s brand power is weak, according to Mr. Rose. “We want to be number one in North American EVs,” says Barra.

She said GM plans to increase spending on electric and self-driving cars to $ 27 billion by 2023, a 35% increase over previously disclosed plans. The car maker also plans to accelerate the launch of 12 new electric models.

GM’s ambition to become a major electric vehicle maker put it on the clash course between Tesla and German car maker Volkswagen, which outlined a $ 86 billion electric vehicle investment plan last week. GM and VW are directly competing in China.

After Rose outlined her EV strategy, GM stocks gathered in the positive territory. Tesla’s stock rose 3% on Thursday, pushing automakers to a market capitalization of $ 475 billion, almost eight times that of GM.

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Some investors are putting pressure on GM’s electric vehicle business to separate from the profitable legacy internal combustion business of automakers. Asked about GM’s skateboarding or battery-operated spin-offs, Barra said, “I don’t think it needs to be separated.”

Instead, Barra emphasized the benefits of integrating the business of internal combustion engines and electric vehicles, noting that EVs can share up to 70% of the components used in traditional vehicles.

Mr. Rose said GM, along with LG Chem of South Korea, will increase the battery capacity of the plant under construction in northeastern Ohio and increase the number of plants that manufacture electric vehicles.

Due to Tesla’s surge in market capitalization and increasing pressure from regulators to phase out carbon-emission gasoline engines, these models are currently less profitable than current trucks and SUVs, but existing It is putting pressure on automakers to accelerate the production of electric vehicles.

GM criticized Democrats and environmentalists last year for U.S. President Donald Trump’s support for Trump’s decision to drop California’s emission regulations and later reduce efficiency requirements during the Obama era. it was done.

GM has confirmed that it will accelerate the rollout of new EVs, offering 30 models worldwide by 2025 and expanding the previous goals of 20 electric models by 2023. Barra said GM wants to exceed its previous goal of 1 million EVs a year. By 2025 United States and China.

GM’s marketing to investors is focused on the company’s Ultium battery technology, which GM said will offer up to 450 miles of electric driving range on a single charge, up from the previously mentioned 400 miles. ..

Doug Parks, GM’s head of global product development, said in a call to reporters that the second-generation Ultium battery, launched in mid-2010, should fill most of the cost gap with gasoline engines.

GM also said it has created a comprehensive organization for electric vehicle and digital marketing efforts called Ultifi.

Report by Ben Clayman and Joseph White in Detroit, additional report by David Shepherdson in Washington. Edited by Nick Zieminski.

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Source: Reuters

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