Overview
- General Motors reported a fourth-quarter net loss of $3.3 billion driven in part by more than $7 billion in charges tied to scaling back EV production.
- Leadership says GM remains committed to electric vehicles, pursuing cost reductions and new battery technologies to improve profitability.
- Management expects EV volume to be down for the full year and is guiding to reduce EV losses by $1.0 billion to $1.5 billion in 2026.
- To blunt tariff exposure, GM is moving a Buick compact crossover from China to Kansas at an estimated near-term cost of about $1 billion, and it said it offset more than 40% of its 2025 tariff bill with total tariff costs finishing below initial expectations.
- Ford recorded a $19.5 billion special charge tied to its EV pivot, including effectively discontinuing the F-150 Lightning in its current form, while GM topped Q4 earnings estimates, reached its highest U.S. market share since 2015, raised its dividend 20%, and authorized a $6 billion buyback.