General Motors reports $7bn earnings loss after pulling back from EVs

The Guardian - World NewsCenter-LeftEN 2 min read 100% complete by Agence France-PresseJanuary 8, 2026 at 11:12 PM

AI Summary

short article 2 min

General Motors (GM) announced it will record a $7.1 billion earnings loss in its fourth-quarter results, primarily due to scaling back electric vehicle (EV) investments. The $6 billion in charges related to EV reversals stem from shifting U.S. policies and slowing consumer demand in North America, influenced by the termination of tax incentives and reduced emissions regulations. An additional $1.1 billion in charges includes costs from restructuring its China operations and legal accruals. This move follows similar adjustments by Ford and reflects a broader industry response to evolving government policies and consumer preferences regarding EVs, particularly after policy reversals under Donald Trump. Despite this setback, GM maintains that EVs remain a long-term priority.

Key Entities & Roles

Key Player Opposition Context

North America 40% Detroit 40% SAIC General Motors Corporate Limited 40% China ×250% Ford 50% Joe Biden 60% Mary Barra ×260% United States ×270% Donald Trump ×270% General Motors ×790%

Keywords

electric vehicles 100% earnings loss 80% general motors 80% us policies 70% ev investments 70% consumer demand 60% emissions regulations 50% donald trump 50% china operations 40% restructuring 40%