General Motors Company designs, builds, and sells trucks, crossovers, cars, and automobile parts worldwide. It operates through GM North America, GM International, and GM Financial segments, marketing vehicles primarily under the Buick, Cadillac, Chevrolet, GMC, Baojun, and Wuling brands. Vehicles and parts are sold through retail dealers, distributors, and to fleet customers such as daily rental car companies, commercial fleets, leasing companies, and governments. The company also offers after-sales services through its dealer network, including maintenance, light and collision repairs, vehicle accessories, and extended service warranties, as well as automotive financing and software-enabled services and subscriptions. Founded in 1908, General Motors Company is based in Detroit, Michigan.
GM expands into defense and energy, but sales slump and UAW tensions rise
▲
Defense diversification GM is moving beyond cars into defense manufacturing, partnering with Lockheed Martin and RTX and winning a $143 million infantry vehicle contract. This opens a new revenue stream and reduces reliance on consumer auto sales.
This is a major new strategic direction for GM that could drive future growth.
▲
Energy services expansion GM is growing energy services like vehicle-to-grid software, sodium-ion battery cells, and battery recycling, plus a $675 million investment in Brazil. These moves position GM for the electric future and new revenue streams.
This shows GM's push into energy and international markets, which could boost long-term growth.
▲
Supply chain and software gains A new chip deal with Micron reduces supply-chain risk, while high-margin software like OnStar and Super Cruise is expected to generate billions. These factors improve profitability and operational stability.
These developments enhance GM's margins and resilience, key for investor confidence.
▼
Sales decline and UAW tensions Q2 US sales fell 4.2% as EV demand slumped after tax credits ended, and automation led to 1,000 layoffs, sparking UAW tensions. Rising fuel and vehicle prices are also steering buyers away from profitable trucks and SUVs.
These are immediate headwinds that could pressure GM's near-term earnings and labor relations.
Latest
▲2▼2
GM's Gas-Truck Bet Pays Off as EV Pullback Deepens
▲
Fuel economy rollback cuts GM's costs by $20.4B The Trump administration finalized much looser fuel economy rules, and the DOT said this cuts GM's technology costs by $20.4 billion through 2031. GM can sell more high-margin gas trucks without expensive EV compliance spending, directly lifting future profits and the stock.
This is the single biggest new financial force for GM this period, a direct multi-billion-dollar cost reduction.
▲
New V-8 and diesel keep GM's profit trucks competitive GM unveiled a 481-horsepower 6.6L V-8 for 2027 Silverado and Sierra and confirmed it will keep diesel engines. V-8s are 55-61% of these trucks' sales, so protecting that mix defends GM's main profit engine, though a federal probe of the older 6.2L V-8 is a risk.
Trucks drive most of GM's earnings, and these product decisions directly protect that profit stream.
▼
Q3 US sales fall 5.5% as EV deliveries plunge 62% GM's third-quarter US sales dropped 5.5% to about 671,000 vehicles, with EV sales collapsing 62% after the $7,500 tax credit ended. Gas pickups and small SUVs grew, but the EV wipeout and rising dealer inventory weigh on revenue and sentiment.
This is the clearest new evidence of how much the EV subsidy removal is hurting GM's actual sales.
▼
Bolt output slashed 75% and EV investment lags China GM is building the electric Bolt at roughly 75% below plan, about 35,000 units instead of 150,000, and an analyst warned Detroit automakers spend under $400 per vehicle on EVs versus up to $2,750 for Chinese rivals. GM risks falling behind in electric technology long term.
It shows the EV retreat is deepening and raises a real long-term competitive counterweight to the gas-truck strategy.
Q3 2026
▲2▼2
GM beats earnings, raises guidance, but EV losses and tariffs weigh
▲
Strong Q3 earnings and raised guidance GM beat earnings expectations, raised full-year EBIT guidance to $14–16B, and boosted free cash flow to $9.5–11.5B, funding $2.8B in buybacks. This shows core profitability remains solid despite EV troubles.
This is the main positive force behind GM's stock in Q3, directly from the period summary.
▲
High-margin OnStar and defense diversification OnStar revenue grew about 50%, and GM's defense business neared $700M with a potential $1B Army contract. These higher-margin, non-auto streams help offset weak EV demand.
These new growth areas are key positive drivers highlighted in the period summary.
▼
Deepening EV losses and production cuts GM took a $10.9B charge and a $6B tax-credit hit as EV sales plunged 62%. Lordstown idled, 480 workers were laid off, and Bolt output was cut 75%, showing EV struggles are worsening.
This is the biggest negative force in Q3, directly dragging on GM's results and outlook.
▼
Hybrid share loss, China weakness, and tariff threats GM lost hybrid market share to Toyota, saw China sales fall 20%, and faces USMCA tariff threats exceeding $2B. Federal safety probes and a V-8 investigation add further pressure, with market share forecast to drop to 16.7%.
These competitive and regulatory headwinds are major negatives that could limit future growth.
News & notes movingGM
United StatesMexicoCanada
Electrification & Mobility
Trump Tariffs Deliver Mixed Results for US Auto Industry, Analysts Say
President Donald Trump's aggressive trade policy has produced a mixed bag for American auto manufacturing, with analysts describing the gains as incremental rather than decisive. Since Trump returned to the White House, General Motors, Toyota, Ford and other carmakers have announced plans to expand US plants or shift production from overseas, navigating measures such as a 25-percent levy on imported autos. Toyota announced a $3.6 billion expansion of a San Antonio plant as it moves Tacoma pickup production from Mexico to San Antonio, while GM's $4 billion investments in Michigan, Kansas and Tennessee are not expected to lift US auto production until around 2030. Stephanie Brinley, an automotive analyst at Mobility Global, called the lift from Trump's tariffs a partial win, and industry experts view the unsettled nature of the trade measures as a hindrance to bigger wins, most recently in the dust-up between the United States and Canada that has clouded the prospects of the USMCA. Investment by auto suppliers plunged from more than $8 billion in the first quarter of 2025 to around $600 million in the two subsequent quarters before recovering somewhat, according to data from the Center for Automotive Research, whose industry economist Tyler Harp said suppliers are more exposed to tariffs and less able to absorb them than automakers. US auto employment stood at just under 1.8 million workers in September, almost one percent more than in January 2025 but more than two percent below the July 2024 peak, and Global Mobility projects US car production will be 10 million vehicles in 2026, rising to around 11.3 million in 2030.
7203.JP · Tariff · Positive Toyota announced a $3.6 billion expansion of its San Antonio plant and is moving Tacoma pickup production from Mexico to San Antonio to navigate the 25% import levy.
GM · Tariff · Neutral GM's $4 billion US investments in Michigan, Kansas and Tennessee are cited as a response to Trump's auto tariffs, but the article notes they won't lift US production until around 2030.
F · Tariff · Neutral Ford is named among carmakers expanding US plants or shifting production in response to the 25% auto import levy, but no specific Ford investment or outcome is detailed.
GM Q3 US Sales Fall 5.5% as EV Deliveries Plunge 62%
General Motors reported third quarter US sales of 670,974 vehicles, a drop of 5.5% from a year ago, as collapsing electric vehicle demand offset gains in pickups and small SUVs. EV sales fell about 62% to roughly 25.5K units, shrinking to under 4% of GM's US volume from more than 9% a year ago, with the Chevrolet Equinox EV down 92.4% to 1,905, the Blazer EV down 84.4%, the GMC Hummer EV down 72.9%, and the Cadillac Lyriq down 50.5%. Excluding EVs, GM's sales were essentially flat, up 0.3%, helped by a 9.3% rise in light-duty pickup sales led by a 13.3% jump in the Chevrolet Silverado light-duty to 100,221, while the Chevrolet Trailblazer surged 51.1% to 31,075 and the Trax rose 16.3% to 57,917. GM North America president Duncan Aldred said the business is performing very well and that the launch of its next-generation full-size pickups is on track, with the first trucks due in showrooms by the end of the year. GM closed the quarter with 568,151 vehicles in dealer inventory, up from about 511,000 at the end of the second quarter, and said it is on track to end the year with 50 to 60 days' supply. GM reports third quarter earnings on October 20th.
GM · Demand · Negative GM's Q3 US sales fell 5.5% as EV deliveries plunged 62%, with collapsing electric vehicle demand offsetting pickup and small SUV gains.
Flow Engineering Raises $50M Series B at $750M Valuation
Flow Engineering announced a $50 million Series B at a $750 million valuation, co-led by Antonio Gracias, founder of Valor Equity Partners, and Gavin Baker, Managing Partner at Atreides Management. Sequoia Capital, which led Flow's Series A, participated alongside Human Capital, Evantic, SV Angel, Odyssey and EQT, with contributions from Hugging Face co-founder Thomas Wolf, Mercedes-Benz CIO Jonas von Malottki and Formula 1 world champion Nico Rosberg, while Roelof Botha joined Flow's board as an independent director and personally invested. Since its Series A last October, Flow has added General Motors PPU, Rivian and Volkswagen's joint venture RV Tech, Anduril, Stoke Space, Intuitive Machines and Pacific Fusion as customers, joining existing customers such as Rivian, Joby Aviation, Astranis and Radiant Industries. Adoption at Rivian grew from 40 to 1,500 users in 7 months, with Rivian engineers now running millions of API calls each week. Flow will use the funding to build its AI harness for hardware engineering, expand review, branching and evaluation capabilities, grow its engineering team across AI and systems engineering, pursue FedRAMP authorization and other certifications for regulated industries, and scale its sales team.
IONNA Tops JD Power EV Charging Study as Network Passes 180 Sites
IONNA, the charging network founded by eight of the world's leading automakers, announced it has surpassed more than 180 live charging sites nationwide, more than doubling the size of the network since the beginning of 2026. The growth comes alongside a first-place ranking among DC Fast Chargers in the JD Power 2026 U.S. Electric Vehicle Experience Public Charging Study, earned in IONNA's very first year of eligibility, and the company says it is the largest 400kW charging network in the US. Since announcing its strategic partnership with Circle K earlier this year, IONNA has brought 40 Circle K charging locations online, doubling usage at those locations following upgrades to IONNA operations. Supported partner apps have grown to 19 with new integrations across Presto, ChargeHub and EV Connect, while Plug & Charge is newly enabled for Volvo drivers and Toyota and Lexus support is anticipated in October; Hyundai and Mercedes-Benz have joined BMW and GM in offering charging discounts through their apps and Plug & Charge. IONNA also founded a Driver Advisory Council co-captained by Kyle Conner of Out of Spec and Tom Moloughney of State of Charge, whose first priority will be gathering feedback on the newly launched Driver's Dashboard. "The industry has treated charging scale and charging quality as a tradeoff," said Seth Cutler, CEO of IONNA. "Our growth and first-place customer satisfaction ranking show that drivers can and should expect both."
IONNA LLC · Demand · Positive IONNA surpassed 180 live charging sites, doubled its network since early 2026, and ranked first among DC Fast Chargers in the JD Power study.
0HTP.LSE · Demand · Positive Plug & Charge is newly enabled for Volvo drivers on IONNA's growing network, improving the charging experience for Volvo EVs.
7203.JP · Demand · Positive Toyota and Lexus Plug & Charge support is anticipated in October on IONNA's expanding network, improving charging for Toyota EVs.
Alimentation Couche-Tard Inc · Demand · Positive IONNA's Circle K partnership brought 40 Circle K charging locations online, doubling usage at those locations.
005380.KO · Demand · Positive IONNA, co-founded by Hyundai, surpassed 180 charging sites and ranked first in JD Power; Hyundai also offers charging discounts and Plug & Charge through its app.
BMW.XETRA · Demand · Positive BMW is a founding IONNA automaker and offers charging discounts through its app, benefiting from the network's expansion.
Ford, GM and Stellantis invest under $400 per vehicle in EVs as Chinese rivals spend up to $2,750, analyst warns
Ford, GM and Stellantis each invest less than $400 toward EV research, development and production for every passenger vehicle they sell, while Chinese automakers including BYD, SAIC and Geely invest between $1,700 and $2,750 per vehicle, according to Dale Hall of the International Council on Clean Transportation. Writing in Automotive News, Hall said the Detroit 3 ranked among the world's five least capital-invested automakers in EVs on a sales-adjusted basis as of last year, and warned that no amount of American ingenuity and innovation can close the gap with China's lead. He pointed to the federal government's phase-out of tax credits for new and used electric vehicles and charging infrastructure and its freeze and termination of grants for EV and battery manufacturing, after U.S. makers invested billions in EV projects backed by Inflation Reduction Act assurances. Ford took a $19.5-billion hit tied to scaling back its electric program amid lower-than-expected demand, high costs and regulatory changes. Hall noted China supplies an estimated 70% of the world's car batteries and 80% of car battery cells and has more than 24 times more publicly-accessible EV chargers than the U.S., while BYD overtook Tesla as the world EV leader in 2025.
Electrification & Mobility › China NEV Leaders ▲Competition
F · Capital · Negative Ford invests under $400 per vehicle in EVs versus up to $2,750 by Chinese rivals, and took a $19.5-billion hit from scaling back its electric program.
GM · Capital · Negative GM is among the Detroit 3 investing under $400 per vehicle in EVs, far behind Chinese automakers' $1,700-$2,750.
STLA · Capital · Negative Stellantis is among the Detroit 3 investing under $400 per vehicle in EVs, far behind Chinese automakers' $1,700-$2,750.
002594.CS · Competition · Positive Article highlights BYD's far higher EV investment per vehicle and its overtaking of Tesla as world EV leader, underscoring its competitive lead over the Detroit 3.
0175.HK · Capital · Positive Geely invests between $1,700 and $2,750 per vehicle in EVs, giving it a capital-investment lead over the Detroit 3.
600104.CG · Capital · Positive SAIC invests between $1,700 and $2,750 per vehicle in EVs, giving it a capital-investment lead over the Detroit 3.
GM to Cut Compact EV Bolt Production by About 75% Versus Original Plan, UAW Official Says
General Motors is producing its compact electric vehicle, the Bolt, at roughly 75% below the original plan set before federal support for EVs was scrapped, according to Dontey Wilson, a branch president of the United Auto Workers. Wilson said the plant near Kansas City that builds the Bolt is expected to produce about 35,000 vehicles in total before production ends in the first quarter of next year, a steep drop from the roughly 150,000 originally planned. GM declined to comment on Bolt production in a statement, saying only that it continuously reviews market trends and customer demand. The production cut underscores how automakers are scaling back EV plans in response to multiple policy measures taken by the Trump administration and Republican lawmakers to withdraw federal subsidies for EVs. EV sales fell sharply after the 7,500 dollar tax credit for EV buyers was abolished in September 2025. GM launched the new Bolt earlier this year at a starting price of 27,600 dollars, pitching it as an affordable option, but sales from January through August totaled just 4,224 units, and the company calls it a limited-production model. GM still builds more than a dozen EV models, but it has retooled some plants for gasoline-engine vehicle production and, like its peers, is scaling back massive EV investments, booking 10.9 billion dollars in EV-related costs from the second quarter of 2025 onward.
GM · Regulation · Negative GM slashed Bolt production ~75% below plan after federal EV subsidies were withdrawn, forcing EV scale-back and $10.9B in EV-related costs.
NHTSA Sees Automaker Tech Costs Falling $60.6B Through 2031 After Fuel Economy Rollback
The National Highway Traffic Safety Administration expects automakers' technology costs to decline by $60.6B through 2031 following the slashed fuel economy standards finalized this week. Within that total, General Motors' technology costs are seen falling by $20.4B, Stellantis by $6.2B, Hyundai by $5.3B, Ford by $5.1B, Toyota by $4.5B and Honda by $4.1B. NHTSA projected that if savings are passed on to consumers, per-vehicle costs for new vehicles would be reduced by $1,289 for model year 2031, on average. GM said it supported the goals of NHTSA's final rule for Corporate Average Fuel Economy standards and its intention to better align them with market realities. John Bozzella, CEO of the Alliance for Automotive Innovation, called the Biden-era standards an effective requirement to switch to electric vehicles that was out of step with market realities and customer demand, and described the final rule as an appropriate course correction. Under the previous administration, the auto industry was expected to face no more than $1.83B in fines from 2027 through 2031 for not meeting CAFE standards.
GM · Regulation · Positive GM's technology costs are seen falling $20.4B through 2031 under the finalized CAFE rollback, and GM voiced support for the rule.
7203.JP · Regulation · Positive Toyota's technology costs are seen falling $4.5B through 2031 under the finalized CAFE standards rollback.
7267.JP · Regulation · Positive Honda's technology costs are projected to fall $4.1B through 2031 after the fuel economy rollback.
F · Regulation · Positive NHTSA projects Ford's technology costs falling $5.1B through 2031 after the fuel economy rollback.
STLA · Regulation · Positive NHTSA expects Stellantis' technology costs to decline $6.2B through 2031 following the slashed fuel economy standards.
005380.KO · Regulation · Positive NHTSA projects Hyundai's technology costs will fall by $5.3B through 2031 after the fuel economy standards rollback.
Trump Administration Finalizes Fuel Economy Rules Loosening EV Mandate
The Trump administration finalized new fuel economy standards Monday that are expected to result in average fleet fuel economy of 34.9 miles per gallon by model year 2031, well below the 50.4 mpg trajectory established under the Biden administration. The administration also reversed the previous goal of having electric vehicles account for half of new U.S. vehicle sales by 2030. For Ford and General Motors, the shift gives them more room to balance EV investments with gasoline-powered vehicles and hybrids. The Transportation Department estimates the changes will cut the average cost of a new vehicle by $1,300 and save Americans $138 billion over five years, though earlier NHTSA estimates projected an additional 100 billion gallons of fuel consumption through 2050 and a 5% increase in carbon dioxide emissions. Ford shares fell 2.7% Monday, while GM dropped about 2% amid broader market weakness, and Tesla fell more than 3%.
F · Regulation · Positive Finalized looser fuel economy rules and reversed EV sales goal give Ford more room to balance EV investments with gasoline and hybrid vehicles.
GM · Regulation · Positive Loosened fuel economy standards and scrapped EV mandate give GM more flexibility to balance EV spending with gas-powered and hybrid models.
TSLA · Regulation · Negative Reversal of the goal for EVs to be half of new US vehicle sales by 2030 removes a regulatory tailwind for Tesla's core EV business.
GM Unveils New V-8 Engines for 2027 Silverado and Sierra Pickups
General Motors has unveiled new V-8 engines for its redesigned 2027 Chevrolet Silverado and GMC Sierra pickups, reigniting a truck wars rivalry with Ford and Ram as EV sales cool nationwide. The new 6.6-liter V-8 produces 481 horsepower, which GM says beats any naturally aspirated half-ton engine on the market and tops Ford's twin-turbocharged V-6 on both power and towing capacity. V-8 models account for 55% of Silverado sales and roughly 61% of Sierra 1500 sales, so the stronger gas engines are aimed at protecting the mix, pricing, and plant utilization that drive GM's North American earnings. The launch carries execution risk: Silverado sales fell 4.6% in the first half of 2026 while Sierra sales stayed roughly flat and Ram sales rose 19%, and a federal investigation into failures involving GM's current 6.2-liter V-8 hangs over the new product cycle. GM began developing the new engine family in 2018, and the 2027 launch gives the business a way to earn returns from that work as it adjusts the pace of its EV spending to actual customer demand.
GM Keeps Diesel for Redesigned Silverado and Sierra
General Motors is sticking with diesel engines for the redesigned Chevrolet Silverado and GMC Sierra, which are scheduled to launch in the fourth quarter with an upgraded 3.0-liter diesel and an optional larger fuel tank delivering more than 900 miles of highway range. The decision matters because Silverado and Sierra are among GM's most important profit generators: GMNA posted an 8.6% EBIT-adjusted margin in the second quarter, up from 6.1% a year earlier, and generated $3.45 billion of EBIT-adjusted earnings, up 43% year over year, with the company citing strong full-size pickup demand and favorable product mix. GM's current four-wheel-drive diesel Silverado and Sierra already achieve about 24 mpg, slightly above Ford's hybrid F-150 at 23 mpg, according to federal ratings cited by Reuters. The risk is that hybrids represented 19% of U.S. vehicle retail sales in August 2026 while GM largely lacks hybrid offerings, and GM's U.S. market share had fallen to 16.8% as Toyota and Honda gained ground, with Reuters estimating that owners driving 15,000 miles annually could spend about $1,050 more on fuel with GM's diesel pickups. Ford and Stellantis are leaning more heavily into hybrid powertrains for their light-duty pickups, and Stellantis' planned extended-range hybrid Ram is expected to offer up to 690 miles of range.
GM · Demand · Positive GM sticks with diesel for redesigned Silverado/Sierra, citing strong full-size pickup demand and favorable product mix that lifted GMNA margins and EBIT.
F · Competition · Neutral Ford's hybrid F-150 is cited as slightly less efficient than GM's diesel pickups, but Ford is also noted as leaning more heavily into hybrid powertrains.
STLA · Competition · Neutral Stellantis is leaning into hybrid powertrains and its planned extended-range hybrid Ram is expected to offer up to 690 miles of range, a competitive contrast to GM's diesel strategy.
GM Completes Closed-Loop EV Battery Pilot Using 100 Percent Recycled Minerals
General Motors and recycling partner Cirba Solutions have completed a closed-loop EV battery pilot that produced new cells using cathode active material made from 100 percent recycled nickel, cobalt and manganese, drawn from end-of-life GM EV packs. The cells now power Cadillac Lyriq and Chevrolet Silverado EVs delivered to customers, a step toward circular EV manufacturing that shows recycled critical minerals can meet the same safety and performance standards as newly mined inputs. The pilot strengthens GM's EV cost and supply-chain story, though it does not materially change the near-term focus on restoring profit margins and managing warranty and EV transition risks. The most relevant recent announcement remains GM's July guidance cut, which lowered 2026 net income expectations to US$8.4–9.8 billion. GM's narrative projects $195.5 billion revenue and $8.2 billion earnings by 2029, requiring 1.8% yearly revenue growth and a $6.3 billion earnings increase from $1.9 billion today, while the most pessimistic analysts assume earnings of about US$12.9 billion by 2029 and a much lower valuation multiple.
GM · Supply · Positive GM completed a closed-loop EV battery pilot using 100% recycled nickel, cobalt and manganese, strengthening its EV cost and supply-chain position.
Trump Approves New Fuel Economy Standards, Ends Biden EV Mandate
President Trump said Saturday he has approved new fuel economy standards for cars and trucks and eliminated the electric vehicle mandate signed by former President Biden. In a post on Truth Social, Trump said the new standards will take the waste out of building cars in America, bringing lower prices and saving families thousands on a new car, and he added that more than $100B is being invested in American automobile manufacturing under his administration. Biden's 2021 executive order had aimed to have half of all new vehicle sales in the US electric by 2030. In December 2025, the National Highway Traffic Safety Administration proposed a fleetwide average of 34.5 miles per gallon by 2031, compared with the 50.4 miles per gallon Biden had called for. NHTSA projected its proposal would save $930 per vehicle, but according to a Reuters report it would add 100 billion gallons of fuel consumption through 2050, increase carbon dioxide emissions by 5%, and boost fuel spending by $185B. In late August, Transportation Secretary Sean Duffy said the administration would soon unveil a common-sense fuel economy standard because it wants Detroit to build cars that Americans want to buy.
Energy Transition & Power Demand › Energy Storage & Grid Flexibility ▼Regulation
Electrification & Mobility › China NEV Leaders ▼Regulation
F · Regulation · Positive Trump's new fuel economy standards and end of the EV mandate ease compliance costs for Ford's gas-heavy lineup.
GM · Regulation · Positive GM benefits from relaxed fuel economy rules and removal of the EV mandate, reducing pressure to shift to electric vehicles.
STLA · Regulation · Positive Stellantis gains from looser fuel economy standards and the scrapped EV mandate, easing costly EV transition requirements.
TSLA · Regulation · Negative Eliminating Biden's EV mandate and lowering fuel economy targets undercuts the regulatory push that drives Tesla's EV sales.
Lockheed Martin Receives First Patriot PAC-3 MSE Parts From GM Defense
Lockheed Martin Corporation has received its first shipment of critical housing components for Patriot PAC-3 MSE interceptors from General Motors Company's defense unit, just 22 days after the two companies signed a manufacturing agreement on August 6, 2026. The components, delivered August 28, traditionally take months or years to produce, according to Reuters, as the Pentagon pushes for faster weapons production amid surging global demand for the Patriot missile defense system. The U.S. Army has announced a seven-year agreement worth up to $58.6 billion for PAC-3 MSE production from fiscal 2026 through 2032, supporting Lockheed's plan to raise annual output to 2,000 interceptors. Lockheed plans to invest $8 billion to $9 billion through 2030, modernize more than 20 facilities and add thousands of workers, though the companies have not disclosed the contract's value, expected component volumes, or GM's potential revenue. The initial shipment remains too small to affect either company's financial results by itself, and GM must demonstrate repeatable quality and volume before investors can assign value to the partnership.
Defense & Geopolitical Fragmentation › Defense Primes — United States ▲Supply
LMT · Demand · Positive Lockheed received the first GM-made Patriot PAC-3 MSE components, supporting its plan to raise interceptor output to 2,000 a year amid surging global demand.
GM · Demand · Positive GM Defense delivered its first Patriot PAC-3 MSE housing components under a new manufacturing agreement, opening a defense-supply revenue channel.
Reuters: Trump EV Policy Rollback Derails US Battery Investment as GM, Ford Cut Back
A Reuters investigation published on September 16, 2026 found that Trump administration policies, chiefly the elimination of the $7,500 federal EV tax credit, have derailed a wave of American EV and battery manufacturing investment, with roughly 87% of announced EV-related investments concentrated in states Trump won in 2024. General Motors' Ultium Cells battery joint venture in Lordstown, Ohio idled production and laid off about 480 workers, while Ford scaled back its Glendale, Kentucky battery plant workforce to less than half its original planned size. Ford has announced a $19.5 billion write-down, including $8.5 billion tied to canceled EV models, after replacing the fully electric F-150 Lightning with an extended-range model, and CEO Jim Farley linked the reversal to the sales decline that followed the tax credit's expiration. GM recorded a $6 billion charge, including a $4.2 billion cash charge tied mainly to canceled supplier commitments and settlements, and its EV sales dropped 43% in the fourth quarter of 2025, with approximately 600 Lordstown workers still on indefinite layoff. Tesla's U.S. sales fell nearly 23% year over year to 39,800 vehicles in November 2025 after the credit expired, even after it introduced cheaper Model 3 and Model Y versions.
F · Regulation · Negative Ford scaled back its Kentucky battery plant and took a $19.5B write-down after the EV tax credit's elimination derailed its EV plans.
GM · Regulation · Negative GM idled Ultium Cells Lordstown production, laid off ~480 workers, and recorded a $6B charge tied to canceled supplier commitments after the tax credit expired.
Ultium Cells · Regulation · Negative GM's Ultium Cells battery joint venture in Lordstown idled production and laid off about 480 workers amid the EV policy rollback.
TSLA · Regulation · Negative Tesla's U.S. sales fell nearly 23% YoY in November 2025 after the $7,500 federal EV tax credit expired.
Cox Automotive Projects GM and Ford to Lose Most U.S. Market Share in 2026
Cox Automotive projects that General Motors and Ford Motor will suffer the largest U.S. market-share losses of any major automakers in 2026 as higher gasoline costs push buyers toward more fuel-efficient vehicles. The shift is significant because GM and Ford have historically depended on larger vehicles, notably highly profitable pickup trucks and SUVs, and sustained changes in consumer tastes toward fuel economy could pressure that combination. Competitors including Toyota, Hyundai, Tesla and Stellantis stand to gain as manufacturers fight for customers adjusting their choices to higher gasoline costs. The challenge for GM and Ford is whether demand for their most profitable vehicles can hold up even as the broader U.S. market moves toward more efficient models. The next catalyst will be monthly U.S. sales data, which should indicate whether the market-share losses observed by Cox are accelerating.
F · Demand · Negative Cox Automotive projects Ford will suffer the largest U.S. market-share losses in 2026 as higher gasoline costs push buyers toward more fuel-efficient vehicles, pressuring demand for its profitable trucks and SUVs.
GM · Demand · Negative Cox Automotive projects GM will suffer the largest U.S. market-share losses in 2026 as higher gasoline costs shift consumer tastes toward fuel-efficient models, pressuring demand for its pickup trucks and SUVs.
MP Materials' Magnetics Segment Revenue Rises 50% in First Half of 2026
MP Materials' Magnetics segment, the company's downstream magnet manufacturing arm, generated $37.6 million in revenues in the first half of 2026, up 50% year over year, while segment adjusted EBITDA nearly doubled to $17.1 million from $8.6 million. Within that half, first-quarter revenues surged 306% year over year to $21.1 million on higher magnetic precursor production, with segment adjusted EBITDA of $9.6 million versus $0.49 million a year earlier, while second-quarter revenues declined 17% year over year to $16.5 million and segment adjusted EBITDA fell 7% to $7.5 million, a drop MP attributed to the startup of magnet production at the Independence Facility and its impact on magnetic product pricing rather than weaker demand. MP delivered magnets to General Motors for in-vehicle qualification testing in the second quarter of 2026 and expects to begin commercial magnet shipments in the fourth quarter, followed by a steady production ramp. As of June 30, 2026, MP had collected $150 million in required prepayments from GM under their long-term supply agreement, had delivered $104.5 million of magnetic precursor products, and expects to deliver the remaining $45.5 million within one year, after which it plans to shift to finished magnet sales in 2026. MP is also building a second magnet plant in Northlake, Texas, known as the 10X Facility, expected to lift its overall U.S. rare earth magnet production capacity to roughly 10,000 metric tons per year, and is extending heavy rare earth refining at Mountain Pass.
MP · Capital · Positive MP Materials' Magnetics segment revenue rose 50% in H1 2026 with adjusted EBITDA nearly doubling to $17.1 million.
MP · Demand · Positive MP delivered magnets to GM for in-vehicle qualification testing and expects to begin commercial magnet shipments in Q4 2026.
GM · Demand · Positive GM's long-term supply agreement with MP Materials advances with magnet deliveries for in-vehicle qualification testing and $150M in prepayments collected.
Fed Study Finds Only 14.8% of Firms Plan to Cut Prices After Tariff Refunds
A Federal Reserve Bank of Atlanta survey found that most U.S. companies are keeping their tariff refunds rather than passing them to consumers, with only 14.8% intending to lower prices and 17.2% planning consumer rebates. The U.S. Treasury had issued nearly $135 billion in tariff refunds by mid-September, out of $166 billion collected by U.S. Customs and Border Protection from 330,000 importers before the Supreme Court declared President Donald Trump's Liberation Day tariffs illegal. Walmart received a $2.9 billion refund, Apple $2.2 billion, Nike $986 million, Target $994 million, Home Depot $730 million, Amazon $600 million, General Motors $500 million, TJX $331 million, Lowe's $80 million and Motorola $60 million. The survey found 75.2% of companies plan to hold onto their refunds, with 52.5% planning to invest in research and development or capital projects, and the refunds represent an average 1.7% of annual revenues. Walmart has pledged to use its refund to cut prices, while FedEx set up a tariff refund portal for eligible customers and UPS is also offering refunds to customers. Consumers have launched class-action lawsuits against companies including Nike, and Sens. Elizabeth Warren and Bernie Sanders are pressing the Trump administration to include consumer relief and plan refunds if the court strikes down new tariffs, including up to 12.5% tariffs on imports from 86 countries and 50% tariffs on a variety of Canadian products.
General Motors Earns Zacks Rank #3 as Quarterly EPS Seen Rising 21.8%
General Motors holds a Zacks Rank #3 (Hold), with consensus estimates pointing to earnings of $3.41 per share for the current quarter, a year-over-year change of +21.8%. The Zacks Consensus Estimate for the quarter remained unchanged over the last 30 days, while the consensus estimate of $13.4 for the current fiscal year, indicating a year-over-year change of +26.4%, has moved +0.2% over the same period. For the next fiscal year, the consensus earnings estimate of $14.76 indicates a change of +10.1% from what General Motors is expected to report a year ago, and that estimate has changed -0.1% over the past month. On the revenue side, the consensus sales estimate for the current quarter of $48.42 billion indicates a year-over-year change of -0.4%, while estimates of $185.67 billion and $189.64 billion for the current and next fiscal years indicate changes of +0.4% and +2.1%, respectively. In the last reported quarter, General Motors posted revenues of $48.03 billion, a year-over-year change of +1.9%, and EPS of $3.57 versus $2.53 a year ago, beating the Zacks Consensus Estimate of $46.56 billion by +3.15% on revenue and surprising by +14.06% on EPS; the company beat consensus EPS estimates in each of the trailing four quarters and topped consensus revenue estimates two times over that period. General Motors is graded A on the Zacks Value Style Score, indicating it is trading at a discount to its peers.
GM · Capital · Positive GM holds Zacks Rank #3 with consensus EPS of $3.41 for the quarter (+21.8% YoY) and $13.4 for the fiscal year (+26.4%), reflecting positive analyst earnings estimates.
GM Reverses CarPlay Removal, Adds Apple and Android to 2027 Pickups
General Motors is integrating Apple CarPlay and Android Auto more deeply into its new infotainment interface for the 2027 Chevrolet Silverado and GMC Sierra pickups, reversing a three-year strategy to replace the smartphone projection systems with its own software. The revised system runs CarPlay and Android Auto alongside GM's proprietary software, displaying phone projection within a card on a revamped home page rather than taking over the entire screen, according to Mike Wahlstrom, GM's connected apps and services leader. The shift follows GM's 2023 announcement that it would remove CarPlay and Android Auto from its electric vehicles, with CEO Mary Barra later saying the technologies would eventually be removed from all GM vehicles, including gas-powered ones. Market research cited by the article shows 55% of Apple CarPlay users and 36% of Android Auto users said the absence of those systems would be a deal breaker when buying a new car. Hedge fund holdings of General Motors were roughly steady, slipping from 77 funds in the first quarter to 75 in the second.
GM · Demand · Positive GM reverses its CarPlay/Android Auto removal, adding them to 2027 Silverado and Sierra pickups to avoid losing buyers who consider their absence a deal breaker.
AAPL · Demand · Positive GM reversing its CarPlay removal and integrating Apple CarPlay into 2027 pickups restores/expands Apple's in-car platform adoption, with 55% of CarPlay users calling its absence a deal breaker.
MP Materials Nears Full NdPr Output, Targets GM Magnet Deliveries
MP Materials Corp. told investors at the Jefferies Global Industrials Conference on September 9 that it is nearing full run-rate production of neodymium-praseodymium oxide and expects to deliver commercial magnets to General Motors Company by the end of the year. CFO Ryan Corbett said the company's Mountain Pass facility in California produces NdPr oxide at a pace of about 1,000 metric tons per quarter, which it aims to raise to full capacity, noting the only meaningful historical comparable is Australia's Lynas Rare Earths, which took nearly seven years to reach full run-rate at a similarly scaled separation operation. MP's second-quarter results showed NdPr sales volumes above 1,000 tons for a second consecutive quarter, up 127% year-over-year, with adjusted EBITDA turning positive at $28.5 million from a $12.5 million loss a year earlier. CEO James Litinsky said on the Q2 earnings call that MP has already delivered magnets to General Motors for in-vehicle qualification and regulatory testing, with commercial shipments set to begin in the fourth quarter of 2026 at modest volumes, under a long-term supply arrangement signed in April 2022. Hedge fund holdings of MP Materials slipped to 50 in the second quarter from 52 in the first, while General Motors fell to 75 funds from 77.
MP · Supply · Positive MP is nearing full run-rate NdPr oxide production at Mountain Pass and expects to deliver commercial magnets to GM by year-end.
GM · Demand · Positive MP Materials expects to begin commercial magnet deliveries to GM by end of year under their long-term supply arrangement, securing a key EV magnet supply.
TD Cowen Calls Auto Stock Selloff on Chinese EV Fears 'Overdone' Ahead of Trump-Xi Talks
TD Cowen told clients on Tuesday that the recent selloff in auto stocks over fears of Chinese automakers entering the US market is "overdone," as President Xi Jinping arrives in Washington on Wednesday for three days of talks with President Trump. Senior analyst Itay Michaeli wrote that a shift in US import policy at the summit is "very unlikely," though he urged investors to prepare for that eventuality anyway, noting that most industry contacts share that view. A coalition led by the Alliance for Automotive Innovation, joined by the American Automotive Policy Council, dealer group NADA, and supplier association MEMA, sent a letter to Trump urging the administration to "keep the door firmly shut to Chinese automakers seeking to sell, import, or manufacture vehicles inside the US," crediting Trump's 100% tariffs on Chinese vehicles and a Commerce Department rule barring Chinese connected-car software with shielding the US from the surge seen in Europe, Australia, Southeast Asia, Mexico, and South America. TD Cowen laid out guardrails under which Chinese automakers could be forced in through minority-owned joint ventures with domestic players and probably barred from building full-size trucks, and Michaeli argued such structures "might even prove EPS accretive given sizable D3 EV losses," with Stellantis arguably having the most to gain given its lower North America EBIT starting point. The firm sees EV suppliers and charging networks like ChargePoint and EVgo as beneficiaries of faster US EV adoption, and parts makers with existing ties to Chinese OEMs, including BorgWarner and Aptiv, as "better positioned" than most, while the math is mixed for EV pure-plays Tesla, Rivian, and Lucid. The catch, per Michaeli, is that Big Three stock multiples could still suffer on the long-term risk that any initial restrictions eventually get lifted.
STLA · Competition · Positive TD Cowen argues Stellantis has arguably the most to gain from Chinese automakers being forced into minority-owned JVs, given its lower North America EBIT starting point.
APTV · Competition · Positive TD Cowen says parts makers with existing ties to Chinese OEMs, including Aptiv, are 'better positioned' than most amid Chinese EV entry fears.
BWA · Competition · Positive TD Cowen names BorgWarner among parts makers with existing Chinese OEM ties as 'better positioned' than most.
GM · Tariff · Neutral TD Cowen says auto selloff on Chinese EV entry fears is overdone; US import policy shift unlikely, with 100% tariffs and connected-car rule shielding US automakers.
CHPT · Demand · Positive TD Cowen sees EV charging networks like ChargePoint as beneficiaries of faster US EV adoption.
EVGO · Demand · Positive TD Cowen sees EV charging networks like EVgo as beneficiaries of faster US EV adoption.
General Motors Raises 2026 Adjusted EBIT Guidance to $14-$16 Billion
General Motors raised its full-year 2026 adjusted EBIT guidance to $14-$16 billion from $13.5-$15.5 billion, after second-quarter 2026 revenue rose 1.9% year over year to $48.0 billion and adjusted EBIT climbed 29.8% to $3.9 billion. Adjusted EPS grew 41.3% to $3.57, while adjusted automotive free cash flow surged 78% to $5.0 billion. The company's shares have gained 43.3% over the past year, outpacing the 1.3% rise of the Automotive - Domestic industry and the 17.6% rise of the Zacks S&P 500 composite. GM's revenues are anticipated to increase 0.35% and 2.14% year over year in 2026 and 2027, respectively, with earnings estimated to rise 26.4% in 2026 and 10.14% in 2027. Costs remain a concern: second-quarter 2026 total costs and expenses rose to $46.6 billion from $45.0 billion a year ago, and net income declined 31.1% to $1.3 billion. GM currently carries a Zacks Rank of #3 (Hold).
GM · Capital · Positive GM raised 2026 adjusted EBIT guidance to $14-$16B after Q2 revenue and adjusted EBIT grew, with EPS and free cash flow up sharply
Eisman Calls Tesla's 220x Multiple Crazy, Counts Himself a Robotaxi Skeptic
Steve Eisman, the Neuberger Berman senior portfolio manager made famous by The Big Short, said on his weekly wrap podcast that Tesla's valuation only makes sense if investors believe its robotaxi business will conquer the world, adding, "just count me a skeptic." Eisman noted Tesla's 2026 consensus EPS of $1.66 puts its 2026 P/E at 220 times, versus 6.5 times for General Motors, and that the estimate sits 59% below Tesla's 2022 peak EPS of $4.07. Tesla's Q2 2026 8-K, filed July 22, 2026, showed revenue of $28.24 billion, up 25.5% year over year, but non-GAAP EPS of $0.33 that missed the $0.54 estimate by 38.5%, operating income down 56.9% to $398 million, and free cash flow of negative $1.09 billion. On the bull side, Tesla has expanded Robotaxi service to seven U.S. metros with unsupervised rides in Austin, Dallas, Houston, Miami, Orlando, and Tampa, reached 1.48 million active FSD subscriptions, up 56% year over year, and plans 2026 CapEx above $25 billion. GM, meanwhile, posted Q2 2026 adjusted EPS of $3.57, beating the $3.18 estimate by 12.1% for a fifth consecutive beat, and raised full-year guidance to EBIT-adjusted of $14.0B to $16.0B and adjusted EPS of $12.00 to $14.00.
TSLA · Capital · Negative Tesla's Q2 2026 non-GAAP EPS of $0.33 missed the $0.54 estimate by 38.5%, operating income fell 56.9%, and free cash flow was negative $1.09 billion.
GM · Capital · Positive GM posted Q2 2026 adjusted EPS of $3.57, beating estimates for a fifth straight quarter, and raised full-year EBIT-adjusted and EPS guidance.
GM Begins Supplying Patriot Missile Components to Lockheed Martin
General Motors has started supplying missile-housing components for Lockheed Martin's Patriot PAC-3 MSE interceptors, delivering its first batch in August. Lockheed said GM completed work that typically takes months in three weeks. CEO Mary Barra told analysts this summer she expects $700 million of defense revenue this year at double-digit margins. The opportunity comes as Lockheed Martin faces a significant production ramp, with the Pentagon ordering it to more than triple Patriot output to over 2,000 missiles a year by the end of 2030 while constrained suppliers make scaling difficult. The most advanced Patriot costs over $4 million and takes more than two years to reach the customer, with many key parts largely handmade and sourced from single suppliers such as Boeing, which makes the seeker.
GM · Demand · Positive GM began supplying missile-housing components to Lockheed's Patriot program, with Barra expecting $700M defense revenue at double-digit margins.
LMT · Demand · Positive Pentagon ordered Lockheed to more than triple Patriot output to over 2,000 missiles a year by 2030, and GM's parts help ease its supplier constraints.
GM Warns of Softer Q4 on Truck Transition, Flat 2027 for EVs
General Motors is warning investors to expect a softer fourth quarter as the changeover to its next-generation pickups temporarily cuts truck deliveries by roughly 35,000 units, while management also sees 2027 as a difficult year for electric vehicles. CFO Paul Jacobson said at Morgan Stanley's Laguna Conference that the truck shortfall is about the right way to think about the fourth quarter, which is typically seasonally weaker than the second and third quarters. The near-term weakness looks largely operational, but the bigger investor issue is whether GM can protect truck profits while making its EV business sustainably profitable. Pickups and SUVs remain critical profit engines for GM's North American business, which in the second quarter generated $48 billion of revenue and $3.9 billion of adjusted EBIT at an 8.6% adjusted EBIT margin, and GM raised its full-year 2026 guidance for the second time this year. Jacobson said 2027 is going to be a bit of a flat spot for EVs as profitability remains under pressure, hit first by tariffs and second by the loss of EV credits in the variable profit equation, though GM still believes EVs are a long-term opportunity. GM's next major checkpoint comes October 20, when it reports third-quarter results, with investors watching updated 2026 guidance, North American margins, truck inventories and progress reducing EV losses.
GM · Supply · Negative Changeover to next-generation pickups temporarily cuts truck deliveries by roughly 35,000 units, softening Q4.
GM · Tariff · Negative EV profitability under pressure, hit first by tariffs and second by the loss of EV credits, with 2027 seen as a flat spot for EVs.
Tesla Reclaims 52% US EV Market Share as Rivals Retreat
Tesla has reclaimed a 52% share of the US electric vehicle market even as overall industry sales fell 30% through August, according to The Wall Street Journal, while Tesla's own sales were off 16%. The recovery follows a brutal stretch in which Tesla stock fell from $436 a share at the start of 2025 to $240 by late April, wiping out more than $500 billion in market capitalization, and S&P Global Mobility Research found brand loyalty had plunged. GM, Ford, and rivals based in South Korea and Europe have largely abandoned their US EV ambitions and retooled factories for other products, leaving Tesla with virtually no serious domestic competition. Tesla now relies on just two models, the Model Y and Model 3, after discontinuing the Model S and Model X, and no major overhaul appears planned in the near term. Its Full Self-Driving Supervised software is widely regarded as the industry's best, and a large base of subscribers paying $99 a month positions Tesla to capitalize quickly if regulators approve real self-driving.
Robotics & Physical AI › Autonomous Vehicles & Robotaxi ▲Competition
Robotics & Physical AI › Robotaxi Operators & Platforms ▲Competition
Electrification & Mobility › China NEV Leaders Competition
TSLA · Competition · Positive Rivals' retreat left Tesla with virtually no serious domestic competition, letting it reclaim 52% US EV market share.
F · Competition · Negative Ford has largely abandoned its US EV ambitions and retooled factories, ceding the market to Tesla.
GM · Competition · Negative GM has largely abandoned its US EV ambitions and retooled factories, leaving Tesla with virtually no serious domestic competition.
GM Targets Domestic Battery Supply Chain Within Three Years
General Motors is developing a domestic battery supply chain it expects to complete within two to three years, even as it currently relies on some Chinese-sourced materials for existing battery production. Kurt Kelty, GM's vice president of battery and sustainability, told CNBC the company's near-term goal is full domestic sourcing, centered on sodium-ion battery cells GM is developing with Denver-based startup Peak Energy for stationary energy storage in homes, businesses, and data centers. GM expects commercial production of those cells around 2029, and a GM spokesperson confirmed the same domestic sourcing priority would apply to battery cells for future electric vehicles. Sodium-ion cells are built around sodium from soda ash, which the U.S. holds in abundance, sidestepping the lithium and ferrous sulfate supply chains China currently controls, and Kelty said they handle a broader span of temperatures, removing the need for active thermal management. GM has committed $900 million to new battery research facilities at its suburban Detroit campus, including a cell prototyping building exceeding 500,000 square feet scheduled to open before the end of the year. The comments came as Ford faced criticism from the Trump administration over its battery sourcing, with Transportation Secretary Sean Duffy saying last week he had "profound concern" over Ford's licensing of technology from Chinese battery manufacturer CATL for its Marshall, Michigan plant, while Ford CEO Jim Farley called the charges "basic misunderstandings, mistruths" and the White House posted that Ford is "a GREAT American company."
Energy Transition & Power Demand › Grid, Transmission & Power Equipment Technology
GM · Supply · Positive GM is developing a domestic battery supply chain, including sodium-ion cells with Peak Energy, to sidestep Chinese-controlled lithium and ferrous sulfate supply chains.
Peak Energy · Demand · Positive GM is developing sodium-ion battery cells with Denver-based startup Peak Energy for stationary energy storage.
F · Regulation · Negative Ford faced criticism from the Trump administration over its licensing of CATL battery technology for its Marshall, Michigan plant.
300750.CS · Competition · Negative GM's push for a domestic sodium-ion supply chain aims to sidestep the Chinese battery supply chains CATL currently dominates.
GM and Ford Expand Century-Old Rivalry Into Defense and Energy Storage
General Motors and Ford are taking their century-old rivalry into defense contracting and energy storage, CNBC reported on September 5. Ford joined GM this year in seeking U.S. military contracts after the Trump administration approached domestic automakers about using their mass manufacturing expertise, but GM is years ahead, already building a backlog around a U.S. Army contract for Infantry Squad Vehicles that could exceed $1 billion depending on congressional appropriations, and GM expects its 2026 defense revenue to grow to almost $700 million while targeting positive earnings in the segment this year. Both companies are also entering the energy storage system market, betting on rising electricity costs and data center power demand, with the global Energy Storage System market projected to grow from $668.7 billion in 2024 to $5.12 trillion by 2034. Ford Energy sits within its Model e electric vehicle segment, which is guided to a $4 billion loss in 2026 before targeting breakeven by 2029, and CEO Jim Farley told investors in July that Ford is in the third inning of selling out 20 gigawatt-hours of energy storage production capacity, backed by a five-year framework agreement with EDF Power Solutions North America.
F · Demand · Positive Ford joined GM in seeking U.S. military contracts and is selling out 20 GWh of energy storage capacity under a five-year EDF framework agreement
GM · Demand · Positive GM is years ahead with a U.S. Army Infantry Squad Vehicle contract potentially exceeding $1 billion and expects 2026 defense revenue near $700 million
EDF Power Solutions · Demand · Positive EDF Power Solutions North America signed a five-year framework agreement backing Ford's 20 GWh energy storage capacity
Trump Open to Chinese Automakers Building Cars in the U.S.
President Donald Trump said he would be open to Chinese automakers building vehicles in the United States with American workers, while pledging to maintain restrictions that have effectively shut Chinese-made cars out of the U.S. market. In a Fox News interview, Trump rejected reports that he could allow vehicles built in China to be imported, saying the domestic market could be "overrun" if existing restrictions were lifted, and drew a distinction between imports and Chinese companies manufacturing inside the U.S., comparing such investment with production by Japanese automakers. "If China wanted to come in, and open a plant to build their cars here, I'd be okay with it," Trump said, adding that Chinese manufacturers would need to hire American workers. The comments come ahead of a planned summit with Chinese President Xi Jinping in Washington, and follow similar remarks in January; Ford Chief Executive Jim Farley and Trump administration officials also held preliminary discussions earlier this year about a possible framework under which Chinese companies could manufacture cars in the U.S. with protections for domestic automakers, though no decisions were reached. The prospect remains politically contentious, with Senators Elissa Slotkin and Bernie Moreno introducing legislation backed by Ford, General Motors and the United Auto Workers that would restrict connected vehicles, software and hardware linked to China and other countries considered U.S. adversaries, and prohibit sales of connected vehicles from automakers more than 15% owned by Chinese entities.
F · Regulation · Neutral Ford-backed legislation would restrict connected vehicles linked to China, while Ford also held talks on a framework for Chinese manufacturing in the U.S.
GM · Regulation · Neutral GM backs legislation restricting China-linked connected vehicles, but a possible framework for Chinese plants in the U.S. could also affect it.
002594.CS · Regulation · Positive Trump's openness to Chinese automakers manufacturing in the U.S. could benefit BYD, though imports of Chinese-built cars would remain restricted.
0175.HK · Regulation · Positive Trump said he would be open to Chinese automakers building cars in the U.S., a potential opening for Geely despite existing import restrictions.
Ford Faces US Scrutiny Over CATL and Geely China Ties
Ford Motor Company is facing scrutiny from U.S. Transportation Secretary Sean Duffy over its business relationships with Chinese companies, including battery supplier CATL and automaker Geely Automobile Holdings Limited. Ford's partnership with CATL centers on battery technology and supply, under a 2022 global strategic cooperation in which CATL would supply lithium-iron-phosphate battery packs for vehicles such as the Mustang Mach-E and F-150 Lightning, with Ford structuring its Michigan LFP battery project around licensing CATL's technology rather than having CATL own or operate the facility. Ford's relationship with Geely is broader, and in July 2026 the companies announced plans to establish a joint venture at Ford's Valencia plant in Spain to produce Ford- and Geely-branded multi-energy passenger vehicles for the European market. The two companies also have historical links, as Ford sold Volvo Cars to Geely in 2010. Separately, Tesla faces a National Highway Traffic Safety Administration investigation into the certification of nearly 1,000 Cybercabs, and General Motors faces an expanded U.S. safety investigation into engine failures affecting nearly one million pickup trucks and SUVs.
Mexico's automotive industry reported mixed results for August, with light-vehicle production declining 1.4% year over year to 344,940 units while exports increased 1.3% to 300,475 vehicles, according to INEGI data. The U.S. remains the dominant market, absorbing 76.3% of Mexico's vehicle exports in the first eight months of 2026, totaling 1.72 million units. General Motors led both production and exports in August, manufacturing 79,230 vehicles and shipping 74,842 units, while Nissan's production plunged 26% and Ford's exports tumbled 41.3%. Year-to-date production is nearly flat at 2.65 million vehicles, down 0.7%, with GM leading output at 600,912 units and Nissan experiencing a 25.1% decline. The data underscores the automotive sector's heavy reliance on U.S. demand and its sensitivity to trade policy changes.
Canada's Retaliatory Tariffs on U.S. Goods Take Effect
Canada's retaliatory tariffs on U.S. goods took effect at 12:01 a.m. on September 8, imposing duties of 15%, 25%, and 50% on about C$27.6 billion ($20 billion) of U.S. imports, including steel, aluminum, dairy, appliances, agricultural equipment, pulp and paper, plastics, and electronics. The measures escalate an 18-month trade dispute following the collapse of negotiations between Ottawa and Washington, and come after the U.S. imposed new 50% duties on Canadian exports in August. U.S. companies to watch include Nucor, Steel Dynamics, Cleveland-Cliffs, Alcoa, Deere, Caterpillar, Whirlpool, Kraft Heinz, General Mills, Eaton, Emerson Electric, Honeywell, International Paper, Dow, LyondellBasell, General Motors, and Ford, among others. Bombardier faces added uncertainty after President Donald Trump threatened to block its aircraft from the U.S. market unless it manufactures in the U.S. The dispute could weigh on Canadian growth, exports, and business investment, with Canadian exports to the U.S. already falling 6.6% in July.
GM and Ford Pivot EV Battery Capacity to Energy Storage
GM and Ford are turning their underutilized electric vehicle battery capacity into a new energy storage business to meet soaring demand from data centers and the electric grid. Ford, which took a $19.5 billion write-down on its EV expansion, launched a battery energy storage systems (BESS) business at the end of 2025, repurposing manufacturing capacity in Glendale, Kentucky, and planning to invest roughly $2 billion over the next two years. Ford Energy, a wholly-owned subsidiary, aims to deploy at least 20 GWh of battery storage annually by late 2027 and has a five-year framework agreement with EDF power solutions North America for up to 4 GWh per year. GM, which recorded cumulative charges of $10.9 billion, has also launched an energy storage business and is partnering with Peak Energy on sodium-ion chemistry for grid-scale storage. The U.S. installed a record 20.2 GWh of energy storage in the second quarter of 2026, with utility-scale capacity growing at an annual average rate of 70% over the past three years.
F · Demand · Positive Ford launched Ford Energy BESS business, repurposing Kentucky capacity and targeting 20 GWh annually with an EDF framework agreement for up to 4 GWh/year.
GM · Demand · Positive GM launched an energy storage business and is partnering with Peak Energy on sodium-ion chemistry for grid-scale storage.
Peak Energy · Technology · Positive GM is partnering with Peak Energy on sodium-ion chemistry for grid-scale storage.
EDF Power Solutions · Demand · Positive EDF Power Solutions North America signed a five-year framework agreement with Ford Energy for up to 4 GWh of battery storage per year.
US Automakers Urge Congress to Permanently Ban Chinese Cars
The Alliance for Automotive Innovation, the largest trade association in the U.S. automotive industry, has submitted a letter to members of Congress urging a permanent ban on the import of connected cars, as well as related software and hardware from China, citing risks to economic and national security interests. John Bozzella, the alliance's CEO, stated in the letter that Chinese automakers are flooding the market with government-subsidized vehicles equipped with internet-connected software and hardware worldwide, and requested expedited legislation to ban imports before the end of this year's session. The request reflects growing concerns about threats from Chinese automakers such as BYD and Geely. The organization represents U.S. automakers, including General Motors, as well as major foreign automakers like Toyota and Volkswagen. This move comes amid cheap Chinese electric vehicles capturing global market share and beginning to penetrate Canadian and Mexican markets, raising concerns among U.S. automakers that Chinese cars may soon enter the American market.
GM · Tariff · Positive GM's trade group is urging Congress to permanently ban Chinese connected-car imports, a protectionist trade measure that shields GM from Chinese competition.
002594.CS · Tariff · Negative BYD is named as a key Chinese automaker threat that the proposed US import ban would target, hurting its access to the US market.
7203.JP · Tariff · Neutral Toyota is mentioned only as a member of the alliance seeking the Chinese-car ban, with no company-specific development.
VOW.XETRA · Tariff · Neutral Volkswagen is listed only as a member of the alliance backing the ban; its own exposure is unclear since it also builds in China.
VOW3.XETRA · Tariff · Neutral Volkswagen VZO is only referenced via the automaker alliance's membership, with no specific impact on this share class.
Ford Recalls 148,663 Mustangs Over Electrical Wiring Issue
Ford Motor Company is recalling 148,663 Mustang vehicles due to an electrical wiring issue that could cause a loss of drive power or disrupt key functions such as headlights, increasing the risk of a crash. The recall covers 2024-2026 Ford Mustang models manufactured between September 7, 2022, and June 9, 2026, with NHTSA estimating that about 1% of the affected vehicles may have the defect. Ford will notify owners by mail between August 31 and September 4, 2026, and a remedy is expected around March 2027, with dealerships replacing the engine compartment wiring harness ground terminals at no cost. In related news, Tesla faces heightened regulatory scrutiny in China after regulators ordered the recall of about 2.98 million vehicles last month over concerns that emergency door-release systems could fail during a crash or power loss, affecting its Model 3, Model Y, Model S, and Model X vehicles. Additionally, General Motors is facing an expanded U.S. safety investigation into engine failures affecting nearly 1 million pickup trucks and SUVs, following a previous recall of nearly 600,000 vehicles for L87 engine problems.
F · Regulation · Negative Ford recalls 148,663 Mustangs over electrical wiring issue, increasing crash risk and requiring free repairs.
GM · Regulation · Negative GM faces expanded U.S. safety investigation into engine failures affecting nearly 1 million vehicles.
TSLA · Regulation · Negative Tesla faces heightened regulatory scrutiny in China after recall of 2.98 million vehicles over door-release system failures.
GM Canada Union Agrees to Boost Large Pickup Production
The union representing workers at General Motors' Canadian subsidiary has approved a labor agreement investing C$144 million to increase production capacity for the GMC Sierra heavy-duty pickup truck at the Oshawa plant in Ontario. The agreement, announced by Canada's auto workers union Unifor, also includes a commitment not to immediately sell or close the Ingersoll assembly plant. With U.S. President Trump imposing a 25% import tariff on Canadian-made vehicles and pledging to raise it to 50% by 2027, GM has committed to invest over C$1 billion in its Canadian plants. This includes C$691 million for the production of a new V8 engine in Ontario, and GM Canada has offered workers a 3% annual wage increase over three years. GM Canada President Jack Uppal praised the significant improvements in wages, benefits, and job security, stating they will help maintain high-paying jobs. Last week's U.S.-Canada trade talks broke down over tariff reductions, and Barclays research shows that Canada accounts for about 17% of production of GM's best-selling model, the Chevrolet Silverado.
GM · Supply · Positive Unifor-approved deal invests C$144M to boost GMC Sierra heavy-duty pickup capacity at Oshawa, plus over C$1B in Canadian plant investment including a new V8 engine.
GM · Tariff · Negative Trump's 25% tariff on Canadian-made vehicles, set to rise to 50% by 2027, threatens GM's Canadian production, which includes ~17% of Silverado output.
Unifor members ratify GM contracts securing investments
Unifor members at General Motors have voted overwhelmingly to ratify contracts that secure new products and investment, delivering wage and benefit improvements in the union's pattern agreement. The agreements commit more than one billion dollars in vital investments to Canadian GM facilities, including a new single source next-generation transmission at the St. Catharines Propulsion Plant and the return of next-generation Heavy-Duty GMC Sierra production to Oshawa. The three-year collective agreement mirrors the 3% annual wage increases in the Detroit Three pattern agreement, raising wages for full-rate production members to $50.20/hour and Skilled Trades workers to $62.71/hour. The contracts cover more than 4,600 Unifor members at GM Ontario facilities in Oshawa, St. Catharines, Woodstock, and Ingersoll, with 80.5% approval for the GMCC agreement and 96.5% for the CAMI agreement. Highlights include C$144 million for the Heavy-Duty GMC Sierra at Oshawa, C$215 million for the St. Catharines transmission, and a commitment to seek opportunities for the CAMI facility, extending income maintenance for laid-off members until May 2028.
GM · Capital · Positive Ratified contracts secure over $1B investments in Canadian GM facilities, including new transmission and Heavy-Duty Sierra production, with wage increases.
GM Faces Safety Probe Over Engine Failures in Nearly 1 Million Vehicles
The National Highway Traffic Safety Administration has opened an engineering analysis covering 997,743 General Motors pickups and SUVs equipped with the L87 V-8 engine, spanning model years 2021 through 2026 and including the Cadillac Escalade, Chevrolet Silverado 1500, and GMC Yukon. The agency has logged roughly 500 complaints of engine failure in vehicles already repaired under an earlier L87 recall, with about two dozen requiring full engine replacement, plus 191 reports of failures in vehicles built after that recall's coverage period. GM issued the original recall last year and attributed the defect to a supplier, and has separately disclosed roughly $500 million in incremental costs tied to the L87 issue. The probe follows GM's own receipt of nearly 7,000 complaints of post-repair engine failure, raising concerns that the original fix may be inadequate and could lead to a second, more expensive recall.
GM's U.S. Sales Crown at Risk as Toyota Fast Approaches
General Motors' lead over Toyota in U.S. vehicle sales has narrowed to just over 100,000 vehicles through July, with both automakers at around 1.5 million sales, according to The Wall Street Journal. GM sold roughly twice as many vehicles as Toyota two decades ago, and Cox Automotive analyst Charlie Chesbrough told CNBC that GM may be looking over their shoulder and that Toyota could overtake it as the top-selling U.S. manufacturer by year-end. GM's Lansing, Michigan, battery plant, which GM scrapped and sold its stake in back in 2024, is now producing batteries for a $1.5 billion Toyota order, a symbolic marker of the shifting balance highlighted at a ribbon-cutting attended by Michigan Governor Gretchen Whitmer. Despite the sales pressure, GM is on track for near-record operating profit, raised its free cash flow guidance to $9.5 billion to $11.5 billion, bought back $2.8 billion of stock in the first half, and holds $19.7 billion in automotive cash. GM still holds 42% share of full-size pickups, more than 10 points ahead of its nearest rival, a franchise no competitor has taken from GM in 40 years. However, GM's plants operate at 73% utilization, unchanged since 2018, versus 91.9% at Toyota, according to a Wall Street Journal analysis, and Toyota offers hybrids across more than 20 U.S. models, from the Camry to the RAV4, Corolla Cross, and Highlander. Losing the top sales spot hurts GM's image and reputation, as GM has led U.S. sales since 1931, and seeing a local battery plant supply Toyota instead of GM shows a major foreign rival taking over American production.
7203.JP · Competition · Positive Toyota is fast approaching GM's U.S. sales crown and could become the top-selling U.S. manufacturer by year-end, aided by hybrids across 20+ models.
GM · Competition · Negative Toyota has narrowed GM's U.S. sales lead to just over 100,000 vehicles and could overtake it as the top-selling U.S. manufacturer by year-end, denting GM's image.
GM · Capital · Positive GM is on track for near-record operating profit, raised free cash flow guidance to $9.5-11.5B, and bought back $2.8B of stock in the first half.
Automakers Face 50% US Tariffs on Canada, Hope for Deal Before They Take Effect
Global automakers face a doubled problem after President Trump declared that from January 1 next year, the US will impose 50% tariffs on Canadian-made vehicles, auto parts, and trucks. One industry executive said, "We must not let Canada be treated like China in January." According to Barclays, Canadian-made vehicles account for only about 6% of US sales in 2025, but if tariffs double, Ford Motor, General Motors, Stellantis, Toyota, and Honda will face significant additional costs on their main models. Moreover, higher tariffs on parts would hit the entire US automotive supply chain. Some industry sources interviewed by Reuters suggested that since the tariffs are months away, there is still room for both sides to reach an agreement. Toyota and Honda are expected to be the most affected, as according to the Canadian Automobile Manufacturers Association, they account for over 75% of the 1.2 million vehicles produced in Canada in 2025, most of which are exported to the US.
USA
