Posted on 10/23/2025 5:45:01 AM PDT by Red Badger
The electric commercial van segment has little juice, so the BrightDrop is no more.
GM has decided to stop making the Chevrolet BrightDrop electric commercial van and will look for something new to build in the Canadian plant where it is assembled, says GM CEO Mary Barra. GM’s retail portfolio will otherwise remain unchanged, Barra told investors on a call to discuss third-quarter earnings. But the same is not true for the commercial side.
“The commercial electric van market has been developing much slower than expected, and changes to the regulatory framework and fleet incentives have made the business even more challenging,” says Barra. GM idled the CAMI plant in Ingersoll, Ontario, in May due to slow sales of the BrightDrop van, with plans originally calling for the return of a single shift this month. Barra said this decision wasn't made lightly because of the impact on employees. The BrightDrop has been used by FedEx, DHL, Walmart, and other companies.
We Need to Make More of the Chevy Equinox
Ironically, the CAMI plant made the Chevrolet Equinox until 2022 when the plant was retooled to make the BrightDrop. The gas Equinox and Equinox EV are strong products for GM and Barra announced plans to double production of the compact SUV. GM announced in June its plans to add production of the gas-engine Equinox at its Fairfax assembly plant in Kansas City, Kansas, in 2027. With demand outstripping supply, Barra said GM will double gas Equinox production. The Fairfax plans are part of a larger $4 billion investment in U.S. plants over the next two years. That includes moving production of the non-EV Chevrolet Blazer from Mexico to a plant in Tennessee.
The decision to drop BrightDrop and the plant shuffling are actions to right-size EV production going forward, Barra said. While the commercial EV van business has been abandoned, she stressed GM is still committed to vehicles like the Equinox EV and Cadillac Escalade IQ. GM will also continue to invest in new battery chemistries like LMR, but with the cancellation of federal tax incentives, it's clear that near-term EV adoption will be slower than forecast and ICE vehicles will have greater staying power.
Expensive New EV Strategy
GM is adjusting capacity and took a sizable $1.6 billion hit in the third quarter to do so. The revised EV strategy recognizes demand will fall with the lack of incentives, but Barra thinks the market will shake out as competitors who were selling electric vehicles at discount for regulatory compliance will be weeded out, while strong products will still find buyers. What was an artificially driven environment based on tax breaks can become a more natural one based on demand.
EV losses will continue to come down. And tariff costs may not be as large as initially forecast. The impact is now expected to be $3.5 billion to $4.5 billion, down from as much as $5 billion. Barra said GM will continue to increase domestic sourcing and manufacturing, while monitoring the ever-changing tariff policy of the Trump administration.
GM achieved its highest third-quarter market share since 2017, Barra said. Adjusted earnings were down and net income fell to $1.3 billion because of the $1.6 billion in charges related to changing EV plans, but the company has raised its guidance for the year and now expects adjusted earnings or $12 billion to $13 billion, up from $10 billion to $12.5 billion. The actions to reduce complexity, warranty, and fixed costs, as well as the restructuring of the business in China, should position the company to perform even better in 2026, said chief financial officer Paul Jacobson.
Instead of listening to insane communist government bureaucrats, they should have been listening to their customers.
I see the Equinox and Trail Blazer everywhere! They get high marks in Car and Diver etc. I’m not a fan of the 2 tone interior or I would’ve bought one. Got an RDX instead!
GM is a clown show. I lost all respect for GM in 2008 when they claimed that problems with Impalas were the fault of the “old” GM and the “new” restructured GM wouldn’t help.
These companies got burned by the Obama's and Bidens of the world, administrations that ruin entire industries with their nutzo climate initiatives.
“The commercial electric van market has been developing much slower than expected...”
I notice the large UPS delivery trucks are powered by natural gas. When you’re building for commercial fleet sales you assume a lot of financial risk. If a company like UPS decides that they aren’t interested in your EV offering, then you get ZERO sales. You’re left trying to piece together enough smaller customers to keep your assembly line running.
I wonder why CEO Mary Barra still has a job? She has been a disaster for GM.
Someone in a previous unrelated thread pointed out a new term that applies here:
Reality will occur.
The Biden Admin must have did something to get car makers to make the EV crap
DEI on steroids................
Like creating near impossible fleet efficiency standards.
“I see the Equinox and Trail Blazer everywhere”
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Never understood the thought process of any of the big 3.....all had popular products in Camaro, Mustang and Challenger......what did they all do? Discontinued ‘em and then had an epiphany and brought ‘em back.....unbelievable. SMH
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As far as Equinox and Trail Blazer go, the precursor to the GMC midsized SUV was the Envoy.
I bought my wife one in 2003 and it never caused us one second of problems.
What did GM do?....discontinued them.
Between their poor business decisions and getting into bed with obama for a bailout I’ve Sworn off GM vehicles for good.
Exactly, instead of improving on the popular models they discontinue - only in Detroit.
“I wonder why CEO Mary Barra still has a job?”
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From wiki 👇
“When Barra took over as chief executive of General Motors in January 2014, she became the first female head of an automobile manufacturer.”
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That’s why
Nevermind the company. It was stolen "lock stock and barrel" from the stock and corporate bondholders by Obama, and given to the union commucRATs.
That's why they call GM "Gubmint Motors."
The stock and bondholders should file millions of individual suits against the Obamas et al, and get their money back.
Barky and Big Mike need to be living in San Francisco, panhandling and crapping on the street.
They’d call her a “nepo baby”. Father was a lifelong worker who stamped doors on Pontiacs (which Obama shut down as part of political payback for the CEO not supporting him in 2008). Her No. 2 Mark Reuss is the son of Lloyd, a former GM executive, who led Buick with the Grand National. The Grand National could not be made in today’s regulatory era.
Ford needs to do the same thing. Bring back the ICE Taureses and Escorts. Make a 5 speed manual Escort. They will fly out of the showrooms. The Taureses obviously for fleets.
Tax loophole for Chevrolet BrightDrop electric commercial van gone?.
At a recent doctor’s appointment the subject of Chevrolet came up...
All involved described the brand using words I can’t use here.
If they were to convert all those unsold EVs to hybrids, they’d probably sell like hotcakes.
IMHO part of the problem is the Dims' ever changing regulations for their doomsday cult warmageddon policies. You're right that some trucks are fueled by natural gas, CNG. And the Dims were the ones promoting it, saying that switching to "clean burning natural gas" would save us from our carbon sins. But now the Dims hate on natural gas like it's killing us all. Thus Brandon issued multiple EO's to make it harder to drill and process natural gas (and oil) and made the prices skyrocket.
The lesson learned is to never kowtow to the Dims thinking you'll appease them. If solar or wind or EV's really took off the Dims would figure out an excuse to limit them too.
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