Detroit’s EV Reset: GM Taps the Brakes, Ford Bets on Hybrids, Stellantis Swerves
- Rich Berliner
- 7 days ago
- 4 min read
The Post-Credit Comedown—and a Global Split
When the U.S. federal clean-vehicle tax credit effectively disappeared for most new purchases ordered after Sept. 30, 2025, its EV market hit turbulence. Demand wobbled just as inventories swelled, and Detroit’s Big Three rewrote plans on the fly. Globally, though, momentum still looks solid: BloombergNEF expects roughly 22 million plug-in sales in 2025 and a continued climb thereafter, while Autovista24 (drawing on EV-Volumes) pegs EVs at about 26.7% of global light-vehicle sales in 2026. In short: the world is still accelerating; America is tapping the brakes.
GM: Slowing to Go Farther
General Motors is trimming near-term EV output and taking financial medicine now. In mid-October, GM said it would record a $1.6 billion charge to resize EV capacity and supplier commitments in the wake of the incentive rollback, even as it reiterated that adoption is slowing—not stalling. The point is to match production to a choppier U.S. demand curve while keeping the Ultium program poised for lower-cost models later in the decade. GM entered this stretch with a sturdy base: for 2024, the company reported $6.0 billion in net income and $14.9 billion EBIT-adjusted.
Ford: Profits first, volume later
Ford’s strategy is explicit: let Ford Blue (gas and hybrids) and Ford Pro (commercial) throw off cash while Model e (EVs) burns it. The most recent quarter made that trade-off plain—Model e posted a $1.4 billion EBIT loss on $1.8 billion of revenue, while Blue and Pro were solidly profitable, supporting a full-year 2025 adjusted EBIT outlook of $6 billion to $6.5 billion despite supply-chain hits from an aluminum plant fire. In a higher-rate, post-credit market, Dearborn is sequencing launches and leaning harder on hybrids to bridge to EV cost parity.
Stellantis: The Sharpest Pivot
No company moved faster than Stellantis. In September, Ram canceled its fully electric 1500 pickup for North America and rebranded the range-extended Ramcharger as the Ram 1500 REV, a tacit admission that buyers of full-size trucks want towing and range without the compromises of today’s big-battery setups. The decision landed alongside an operational rebound—Q3 shipments up 13% globally and 35% in North America—giving cover to emphasize hybrids and range-extended offerings while BEV economics improve.
What the Numbers Say
Even as their EV tactics diverge, Detroit’s ledgers tell a consistent story: EVs remain a drag in the United States without federal support, and the winners are those with balance-sheet cushion or profitable non-EV franchises to fund the transition.
* GM’s full-year 2024 net income of $6.0B is from the company’s Jan. 28, 2025 release.
 ** Stellantis reports Adjusted Operating Income (AOI) rather than GAAP operating income; figure shown is AOI as disclosed in company results.
Sources: GM 2024 results release (net income, EBIT-adjusted), Ford 2024 Form 10-K (net income); Macrotrends operating income series, Stellantis FY2024, FY2023 and FY2022 results press releases (net profit and AOI).Â
Q3 2025 EV Results
GM posted a record electric quarter with 66,501 U.S. EV deliveries, up roughly 105% year over year, as buyers rushed to capture the expiring federal credit; management said the surge came alongside broader cost work as it trims EV capacity and aims to narrow losses. Ford’s EVs also notched a record quarter—30,612 units, up ~30%—even as the Model e division logged a $1.4 billion EBIT loss on $1.8 billion in revenue, underscoring Dearborn’s strategy to let hybrids and Ford Pro subsidize the ramp. Stellantis didn’t break out EV sales, but it leaned into a hybrid- and range-extended tilt—scrapping its full-size BEV pickup while Q3 shipments rose 13% globally (North America +35%), giving cover to defer capital-heavy BEV bets. Big picture: the U.S. EV market set a quarterly record at ~438,000 units as pull-ahead demand peaked before incentives lapsed, magnifying the quarter’s EV highs—and the policy cliff on the other side.
Strategy vs. Scoreboard
On strategy, GM is moderating the cadence—taking charges now, protecting margins, and keeping powder dry for a lower-priced wave (including a next-gen Bolt) when costs fall. The risk is ceding share in a soft patch; the hedge is a still-profitable core business. Ford is the clearest about trade-offs: hybrids and Pro fund a measured EV ramp until Model e’s losses narrow. It’s a patience play that depends on disciplined capex and cleaner launch sequencing. Stellantis is the most contrarian in North America, stepping away from a halo BEV truck to pursue hybrids and range-extended offerings that better fit today’s charging reality—especially for towing and rural use. If the U.S. used-EV boom materializes in 2026 and BEV price points compress, Stellantis will need fresh BEV entries to keep pace, but its flexibility buys time.
Conclusion
The subsidy era masked hard economics. With the federal credit gone, Detroit is meeting the market it has, not the one it hoped for. GM is easing off the accelerator to preserve profitability for the long race. Ford is doubling down on hybrids and its commercial franchise to carry EV losses until the math improves. Stellantis is swerving away from a splashy electric truck to sell what buyers want now and wait out infrastructure and cost hurdles. Globally, the EV tide is still rising; in the United States, the water is choppy. For investors—and for anyone building and operating charging sites—the prudent read is to model slower U.S. BEV growth through 2026, expect more hybrids and PHEVs at the curb, and be ready to scale when the next generation of lower-priced EVs resets the curve.
Editor’s Note (ChargedUp! Action Item)Â
Re-run 2026 revenue and utilization scenarios with an 8%–11% U.S. EV-share range and stress-test margins against OEM incentives and a faster-than-expected shift to used EVs.