GM to take additional $6 billion charge to EV business

GM said it will record an additional $6 billion charge tied to its electric-vehicle business for the quarter ended Dec. 31, 2025, and will provide more details when it reports earnings on Jan. 27, 2026.

General Motors said in an SEC filing that it will record approximately $6 billion in charges tied to its electric-vehicle business for the quarter ended Dec. 31, 2025. The company pointed to softer-than-expected EV demand and the loss of the federal EV tax credit at the end of Q3 2025 as context for the review. GM described parts of the charge as non-cash impairments and other cash impacts related to supplier settlements and contract cancellations. Key details: - The charge is roughly $6.0 billion for the three months ended Dec. 31, 2025, and is primarily in GM North America. - GM said about $1.8 billion of the charge is non-cash impairments and approximately $4.2 billion reflects cash impacts such as supplier settlements and contract cancellation fees. - This follows a $1.6 billion EV-related charge taken in Q3 2025, giving a total EV write-down of about $6.6 billion for 2025. - Separately, GM recorded a $1.1 billion non-EV charge tied to restructuring its China joint venture with SAIC, with about $500 million having a cash impact. Summary: GM said the new charges will not affect its EBIT-adjusted results and that it expects to recognize additional EV-related cash and non-cash charges in 2026, which it described as likely to be significantly less than 2025 levels. The company also noted that recent federal changes to greenhouse gas emissions standards would affect the sale of emissions credits. GM will provide further detail when it reports earnings before the bell on Jan. 27, 2026.