General Motors says it is pressing the accelerator on the way to eliminating the fossil fuel-powered internal combustion engine.
CEO Mary Barra announced Thursday that, by 2035, the company plans to produce and sell only zero-emission cars, SUVs and pickups. She said by 2040, GM’s global operations will be carbon-neutral.
It’s a big lift. Is it doable? GM has already invested heavily to develop electric vehicles and convert assembly lines.
Still, getting to a zero-emission all-electric fleet in just 14 years will be like navigating one of those drive-test obstacle courses.
“GM is a profitable company right now, but as they transition, it’s going to present a lot of profitability issues,” said Garrett Nelson at CFRA Research, who adds that GM doesn’t have a great track record.
“The company has discontinued a number of models — the Chevy Volt, the Cadillac CT6 — because they haven’t sold particularly well,” Nelson said.
But, Nelson said, Tesla’s breakout success selling electric vehicles is driving GM to double down.
Kristin Dziczek at the Center for Automotive Research said GM has company.
“All of the automakers are talking about cleaning their operations and unveiling a whole range of electric and electrified models,” Dziczek said.
They have to, she said, to meet climate change goals from governments worldwide.
We’re here to help you navigate this changed world and economy.
Our mission at Marketplace is to raise the economic intelligence of the country. It’s a tough task, but it’s never been more important.
In the past year, we’ve seen record unemployment, stimulus bills, and reddit users influencing the stock market. Marketplace helps you understand it all, will fact-based, approachable, and unbiased reporting.
Generous support from listeners and readers is what powers our nonprofit news—and your donation today will help provide this essential service. For just $5/month, you can sustain independent journalism that keeps you and thousands of others informed.