General Motors to begin production of Electric Vehicles

Utilizing its next-gen Ultium battery technology, General Motors (GM), in association with Honda Motor, plans to develop a series of inexpensive electric vehicles (EVs) based on a new global platform, the companies announced recently.

In the project, which is expected to kick off in 2027, the two auto giants plan to produce millions of affordable EVs including the popular compact crossovers.

Low-priced EVs are mission-critical for the mass adoption of emerging technologies. EVs are getting greater buy-ins and are even popular today in emerging markets like India. But currently, they are seldom within the reach of common folk who cannot afford what luxury buyers can.

The cars that GM-Honda plans to produce are expected to cost within $30,000 according to Ken Morris, Executive Vice President, Electric, Autonomous, and Fuel Cell Programs, General Motors.

Though the commercials of the new partnership went unrevealed, it is evident this partnership will result in EVs for both Honda and GM brands. The global automotive majors stated that they would take the partnership forward by discussing future “EV battery technology collaboration opportunities, to further drive down the cost of electrification, improve performance and drive sustainability.”

Both automakers are currently experimenting with new-age battery R&D and solid-state batteries. These batteries are expected to be less heavy and have greater energy density. They offer a bigger range at lower costs as compared to EVs with lithium-ion batteries that are currently on the roads.

GM seeks to manufacture nearly two million EVs globally by 2025. Honda has largely focused on hybrid vehicles but is increasingly turning towards electric cars. The new partnership cements compatibilities between the two companies in the all-electric and autonomous vehicles space.

Earlier, Honda invested $750 million in Cruise, GM’s majority-owned autonomous vehicle unit, and GM produced two EVs for Honda for the 2024 model year. The companies have also teamed up for producing battery modules and fuel cell vehicles.

GM Chair and CEO Mary Barra said that the two giants will share their best technology and manufacturing strategies with each other and target key markets across North and South America, and China.