General Motors has had a rough first half of the year when it comes to the number of all-electric vehicles delivered throughout the United States. The big GMC Hummer EV pickup that debuted in 2021 saw just 49 units delivered, while 2,316 of the more affordable Cadillac Lyriq reached customers.
However, the American automotive powerhouse is keen to make up for lost time and churn out many more new EVs in this second half of the year. The Detroit Free Press writes that GM is coming up to speed on battery capacity and building momentum, quoting the company’s North American President, Rory Harvey, who spoke during the unveiling of the 2024 Chevrolet Traverse.
As per the source, Harvey admitted to a slow ramp-up for the Lyriq and Hummer EV, pointing to a single supply part issue that has to do with battery module availability. Both the Cadillac luxury SUV and GMC’s so-called supertruck are based on the firm’s Ultium platform and batteries for them are sourced from Ultium Cells LLC in Ohio, which is a joint venture with LG Energy Solution.
With this being said, one other source which wanted to remain anonymous said the supply chain issues go deeper than just battery modules.
"We’ve had supply issues — anything in the supply chain — could be the drive units, anything ... you get one part and suddenly it’s a different one that's needed,” the person told the Detroit Free Press, adding that the production of the GMC Hummer SUV, which started this spring, is moving really slow.
Logistics are another problem that needs to be sorted out by GM, CEO Mary Barra said last month. Chevrolet Vice President Scott Bell says it’s still the biggest challenge for the automaker:
"The supply chain is not quite the topic it was six months ago, but it's still out there," Bell told the media at the launch of the Traverse. "Logistics is where we've spent a lot of time recently with the rails. Getting them from the plant to the customers is the problem."
The Free Press reported last month that a shortage of rail cars is plaguing the entire auto industry as roughly 70,000 new vehicles are waiting at factory parking lots to be delivered to dealerships.
"So it was always going to be a low volume in the early months," GM North America President Rory Harvey said. "All of the debut edition vehicles there are all built. If you look at our sales volume last month and the month before — they continue to increase. This month they will continue to increase. So we’ve got good, positive momentum now.”
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