General Motors Co (NYSE:GM) is expected to pull the plug on its small electric vehicle Chevy Bolt, CNN reported on Wednesday.
What Happened: The Detroit, Michigan-based GM on Tuesday announced an investment plan to build the electric versions of its best-selling pickups Chevy Silverado and GMC Sierra in Orion, a plant that makes the Chevy Bolt and the Bolt EUV.
GM has not provided any “new location” for the Bolt in the latest announcement, the report noted.
"Production of the Chevrolet Bolt EV and EUV will continue during the plant's conversion activities to prepare the facility for production of the Silverado EV and Sierra EV pickups," a GM spokesperson told CNN.
The automaker did not provide any additional information on the production plan for the Bolt EV or Bolt EUV.
See Also: Joe Biden Gives Himself A Pat On The Back As GM Announces $7B Michigan EV Investment
Why It Matters: GM’s Bolt production has been mired in a huge recall, which forced the company to halt production last year. The legacy automaker had to recall about 141,000 Bolts that it ever built after finding battery issues that led to fires.
LG Energy, which supplied batteries for the Bolt, entered an agreement with the automaker to reimburse nearly $2 billion in costs associated with the mega recall.
Electric Plans: Mary Barra-led GM plans to transition to an all-electric portfolio by 2035 and is spending $35 billion through 2025 towards scaling up electric and autonomous vehicles capabilities. The company also aims to have a global lineup of 30 EVs by that time.
By 2030, it aims to have more than half of its factories in China and North America to be capable of EV production.
See Also: Elon Musk Says Tesla Is Not Currently Working On The $25,000 Compact Car — Here's Why
GM on Tuesday announced plans to invest about $7 billion for electric vehicle and battery production at four Michigan plants that will create 4,000 new jobs.
Price Action: GM shares closed 0.87% higher at $52.35 a share on Wednesday. The stock is down 14% year-to-date.
Photo: Courtesy of GM
