GM Experiences Booming Sales in the Electric Vehicle Market

Electric vehicles are not gaining traction among consumers as automakers had anticipated. Brands like Mercedes-Benz are experiencing a decline in their EV sales. However, the situation is not entirely bleak for the electric vehicle sector. GM’s latest sales report for the third quarter indicates that EVs are thriving, as the company continues to broaden its range of battery-electric vehicles.

Between July and September this year, GM achieved its highest quarterly sales of electric vehicles to date, selling 32,095 units. This marks a 40 percent increase from Q2, where the automaker delivered 21,930 EVs. In comparison, only 16,425 EVs were sold in Q1. GM’s share of the U.S. EV market has also increased from 6.5 percent in Q1 to 9.5 percent in Q3.

A contributor to this quarter’s success is the newly launched Equinox EV, which has become GM’s best-selling electric vehicle. It accounted for nearly one-third of the automaker’s Q3 EV sales, totaling 9,772 units during its first full quarter on sale. The Blazer EV closely followed, with 7,998 sales, reflecting a 21 percent increase from Q2.

Although the Bolt EV, which was discontinued last year, only saw 168 sales last quarter, Chevrolet is set to introduce a similarly priced successor soon. Sales of the Silverado EV dropped from 2,196 in Q2 to 1,995 in Q3; however, a more affordable Silverado EV trim will be launched before the year ends, aimed at increasing its market appeal.

GMC has started deliveries of the Sierra Denali EV Edition 1 in the last quarter, and the Hummer EV experienced a staggering 268.9 percent rise in sales compared to Q3 of the previous year.

This quarter accounted for nearly half of the Hummer’s total sales for the year, with year-to-date sales up 632.1 percent. However, it’s worth noting that GMC only sold 1,216 SUVs and trucks from January to September 2023. The Hummer EV is on track to surpass the 10,000 sales milestone this year.

At Cadillac, designated as GM’s lead brand for electric vehicles, Lyriq sales have remained steady for the year, despite being comparatively lower in 2023. The Lyriq reported 5,800 sales in Q1, followed by 7,294 in Q2, and slightly decreased to 7,224 in Q3. While these figures may not propel the Lyriq onto year-end best-seller lists, it is outperforming other luxury EVs from brands like BMW, Mercedes, Audi, and Lexus, with over 20,000 units sold this year.

By the end of this year, Cadillac plans to introduce two more electric vehicles, the Optiq and Escalade IQ. Next year, the Cadillac Vistiq will join the lineup, further diversifying the models available to customers.

The waning interest in EVs has prompted several automakers to revise their electric vehicle strategies, leading to delays in model launches and extended timelines for transitioning to battery-electric production. This shift has also resulted in attractive lease offers from manufacturers that overestimated demand and are eager to clear out stagnant inventory.