The U.S. auto giant announced its luxury division will be its leading electric-vehicle brand going forward. A Cadillac will be the first model built on GM’s new platform for battery-powered cars. Last year, the company discontinued the Chevrolet Volt, a mass-market plug-in hybrid. (Reuters)
Talking point: GM’s pivot to luxury electrics comes as Tesla—which popularized that segment with the Roadster and Model S—has been moving in the opposite direction. The latter is continuing to ramp up production on the Model 3, which is priced significantly lower than previous models; Tesla’s profit margins on the model are reportedly higher than those for most cheaper cars. However, that first Cadillac will definitely be followed by mass-market GM electrics—the company has plans for 20 new electric vehicles by 2023. At the same time, it is cutting back on existing models and closing the plants that make them, including one in Oshawa, Ont., where employees staged a sit-in on Wednesday.