In recent years, the American manufacturer had allocated heavy investments and assumed contractual commitments for the development of its electrical line, in line with the emissions reduction requirements that were in force in the country.
General Motors (GM) reported that it will record losses of about US$1.6 billion during the third quarter of the year, due to the slowdown in the sale of electric vehicles (EV) following the decision of Donald Trump’s government to eliminate tax incentives and modify current environmental regulations.
In a statement sent to the United States Securities and Exchange Commission (SEC)the automaker specified that US$1.2 billion correspond to adjustments in the production capacity of electric vehicles, while 400 million They are linked to cancellations of contracts and commercial agreements related to investments in that segment.
General Motora will lose US$1.6 billion due to Trump’s policy against electric vehicles
GM also warned that these regulatory changes could generate future new financial and non-financial positionswhich would affect its operating performance and results. The company will officially present its balance sheets for the third quarter on October 21.
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In recent years, the American manufacturer had allocated heavy investments and assumed contractual commitments for the development of its electrical line, in line with the emissions reduction requirements that were in force in the country. However, the new energy policy of the government of trump (which includes the elimination of tax benefits for electric car buyers and the relaxation of emissions standards) The scene changed drastically.
According to GM, this political turn has caused a drop in demand of electric vehicles among American consumers and forced the company to review your production strategy and its manufacturing network.
Source: Ambito
I’m a recent graduate of the University of Missouri with a degree in journalism. I started working as a news reporter for 24 Hours World about two years ago, and I’ve been writing articles ever since. My main focus is automotive news, but I’ve also written about politics, lifestyle, and entertainment.
