GM Will Make Cheaper EVs Than Tesla

GM's CEO Mary Barra has outlined a plan for the iconic Detroit based carmaker to overtake Tesla in market share and market cap. Her plan is to ensure that GM is making more affordable electric cars than its Californian rival. GM wants to snatch the title of the world's largest EV maker from Tesla considering that it was one of the earlier players in the electric car trend. 

"We're taking all the steps to do it. We have said that by mid-decade, we will be selling more EVs in this country than anyone else, including Tesla," Barra said in an interview with Yahoo Finance. 

"Remember, we're not necessarily just selling at the premium end. We're going to have electric vehicles affordable at $30,000," she added. 

Mary Barra, Chairman and CEO of General Motors Co

She referred to the Equinox EV that Chevrolet announced recently which will be priced at less than $30,000. The most affordable Tesla is the Model 3 which starts at $40,000. Right now, the Chevrolet Bolt starts at $31,500 which is cheaper than what Tesla sells its cars at. There will be a new Silverado EV which will start at $39,900 and it also has cars like the Cadillac Lyriq and GMC Hummer EV which start at $58,795 and $79,995. 

Tesla in the meanwhile has walked back on plans for launching a $25,000 EV which Musk had announced in 2020. As of now, Tesla doesn't have the bandwidth for such an EV. 

Tesla has a 14 per cent market share of the EV market while GM is the second-largest player in the US with 7.6 per cent of the market.