The Challenges Of GM Electric Vehicle Growth And Battery Supply Problems

JAKARTA - General Motors (GM), an automotive company that holds well-known brands such as Chevrolet, Cadillac, and GMC, is experiencing challenges in the slow growth of the electric vehicle segment (EV).

GM is facing various problems, including the issue of the main supply chain and increasing the production of its electric vehicles.

Despite the challenges, GM is committed to tackling this problem. They hope to increase production competitively in the second half of 2023, even if they have to reduce van BrightDrop EV production.

Reporting from the Carscoops page, Thursday, July 20, GM electric vehicles such as Cadillac Lyriq, GMC Hummer EV, and BrightDrop Van, have many enthusiasts, but the supply of batteries is limited.

To date, Cadillac Lyriq is only produced in less than 3,000 units and GMC Hummer EV is only 49 units throughout 2023. This problem causes BrightDrop production facilities to be closed due to a shortage of battery supply.

Rory Harvey, President of North American GM, blamed the issue of the availability of battery modules which are a major obstacle in the production of electric vehicles.

"We will increase battery capacity and build momentum, and I believe there will be more electric vehicles produced in the second half of this year than the first half of this year," Harvey said.

Meanwhile, Mary Barra, CEO of GM, also admits that building electric vehicles is a new challenge for manufacturers that have been relying on conventional engine vehicles.

"We are trying and having a hard time because it's not just about creating battery cells, but also integrating them into modules and making battery packages for cars," Barra said.

GM is trying to overcome this challenge by working with various suppliers to accelerate the growth of electric vehicles.

Although slightly behind some manufacturers in Europe and China in terms of electric vehicles, GM did not give up. They plan to build an EV battery assembly plant in the US along with Samsung SDI Co, with a capacity of more than 30 GWh scheduled to operate in 2026.

In addition to moving towards electrification, GM also sells several conventional-engined vehicles such as the Chevrolet Silverado and GMC Sierra models to maintain the company's financial stability.