GM just put a $6 billion price tag on its GM EV reset. The company disclosed it in a January filing Form 8-K. So, if you’re shopping an EV this quarter, read this as a money signal: more price pressure, more lease specials, and fewer “take-it-or-leave-it” deals.
What the GM EV reset charge actually covers
GM said it expects about $6.0 billion in EV-related charges for the quarter ended December 31, 2025. It split that into about $1.8 billion in non-cash impairments and other non-cash charges, plus about $4.2 billion tied to supplier commercial settlements, contract cancellation fees, and other charges that turn into cash out the door when GM pays them. That’s a receipt for changing the plan after suppliers ramped up for higher volumes.
GM also explained what pushed the reset. In that filing, it said North American EV demand slowed in 2025 after certain consumer tax incentives ended and after emissions rules got less strict. Reuters’ report on the charge also pointed to the cash-heavy supplier unwind as the big driver behind the headline number.
So GM moved capacity. It said it will pivot its Orion, Michigan plant away from EVs and toward full-size SUVs and pickups. It also said it sold its interest in the Ultium Cells Lansing, Michigan facility to LG Energy Solution. Those are big, expensive levers.
And GM isn’t hiding the intent. Reuters said GM plans to book the charge as a special item in its fourth-quarter earnings, while still keeping its U.S. EV lineup on sale. That’s damage control: cut future spend, pay off the supply chain, then keep the showroom moving.
For you, that tends to show up as louder incentives and sharper lease deals on the EVs dealers need to move. GM can keep selling EVs and still squeeze pricing to keep buyers moving. Both things can be true at the same time.
My Verdict
This is a “don’t panic, shop harder” moment. If you want an EV, treat the next 60–90 days like a clearance aisle with a finance office attached. Ask what factory cash is available, then ask what lease support stacks on top. Compare monthly payments across trims and terms, because dealers love to hide the real discount inside the math.
If you don’t need a pure EV today, don’t force it. A good hybrid deal beats a bad EV deal every time. On January 12, 2026, GM CEO Mary Barra told Reuters EVs are still the “end game,” even if the road there takes longer without incentives—see that Reuters interview from Detroit.
Buy the deal, not the narrative. GM’s numbers should now be singing to you. If they’re not, walk away.
