Major Drivers of Sales Growth
A significant aspect contributing to this surge in sales is the impending expiration of the federal electric vehicle tax credit. As consumers rush to dealerships to take advantage of these incentives, GM has recognized a substantial uptick in demand. In Q3 alone, GM delivered an impressive 66,501 electric vehicles, setting the stage for a robust finish to the year.
By the end of Q3, the company had sold a total of 144,668 EVs—well above the 114,432 units sold throughout all of the previous year. While Q3 has been a standout period, experts anticipate a slowdown in sales during Q4 as many buyers have already made the leap to secure their vehicles before the tax credit deadline.
Best-Selling Models Shine
Among GM’s extensive EV lineup, the Chevrolet Equinox EV has emerged as a star performer, becoming the best-selling non-Tesla electric vehicle. The affordable model saw a remarkable 157% increase in sales, exceeding 25,000 units in just the third quarter. This surge underlines the appeal of budget-friendly electric options, especially as consumer preferences shift toward more economical choices.
Cadillac is also seeing significant success, with three of its electric models—Lyriq, Optiq, and Vistiq—ranking among the top ten best-selling luxury EVs in Q3. Therefore, Cadillac has successfully positioned itself as the leading premium EV manufacturer by sales volume in the luxury segment.
Expanding GMC’s Portfolio
GMC is not to be left behind, with its year-to-date EV sales doubling, thanks in part to the solid performance of its internal combustion engine (ICE) models. Duncan Aldred, GM’s senior VP and president of North America, has emphasized the company’s market position, highlighting its balanced lineup of ICE and EV vehicles as a key factor for upcoming market shifts.
Comprehensive EV Offerings
What sets GM apart in the EV arena is its broad model range. Currently, the company offers eight electric models, including BrightDrop electric vans, and is gearing up to launch a new affordable Bolt EV, expected to start at around or even below $30,000 for the 2027 model year.
The Equinox takes center stage as the most economical offering, starting at $35,100 in its LT trim. It boasts various features, including standard bidirectional vehicle-to-load (V2L) charging, appealing to budget-conscious consumers moving towards electric options.
On the high end, the Cadillac Escalade IQ stands out as America’s longest-range electric SUV. It has garnered attention for exceeding its EPA-rated range even at steady speeds of 70 mph, showcasing its capability and technological advancements.
The High-End Luxury Market
Furthermore, Cadillac’s introduction of the Celestiq, a bespoke fastback flagship starting at an eye-popping $400,000, adds a unique dimension to GM’s EV offerings. Although only a limited number of units will be produced each year, with just 25 scheduled for release in 2025, this model will enhance the brand’s luxury prestige and profitability, despite its minimal impact on total sales figures.
As the EV landscape continues to evolve, GM is in a strong position, balancing affordability with luxury. Its diverse portfolio allows it to cater to various consumer segments, reinforcing its status as a principal player in the electric vehicle market.
In summary, GM’s strategic focus on expanding its electric vehicle lineup while accommodating different market segments is paying off in record sales. With a compelling mix of affordability and luxury, GM is set to maintain its momentum in the rapidly evolving automotive industry.
