Headlines

GM to Halt Gas-Powered Cadillac XT4 Production, Focuses on Expanding EV Lineup

General Motors will end the production of its gas-powered Cadillac XT4 SUV at its Fairfax Assembly plant in Kansas in January 2025, Detroit News reported on Thursday.

What’s Happening: General Motors (GM) has announced that it will cease production of its gasoline-powered Cadillac XT4 SUV at the Fairfax Assembly plant in Kansas starting in January 2025.

The Fairfax facility, which currently produces the Cadillac XT4 and Chevrolet Malibu, will see the Malibu’s production end this November, as previously indicated by GM in May.

After the XT4 halt, GM plans to retool the Fairfax plant to accommodate the production of the next-generation Chevrolet Bolt EV, with an anticipated production restart in late 2025.

The retooling effort will involve an investment of around $390 million, according to GM’s September statement. Production of the previous generation of the Bolt EV ceased in December 2023.

Market Shifts: Cadillac XT4 and Malibu sales have experienced declines throughout 2024. U.S. sales for the Cadillac XT4 dropped by 12%, while the Malibu saw a 16% dip from January through September.

Why It Matters: GM’s focus on EVs is part of a broader strategy to compete in the growing electric vehicle market, where it emerged as the second-leading EV seller in the U.S. for Q3, behind Tesla. GM sold over 32,000 EVs during this period, with the Chevrolet Equinox EV contributing significantly.

With eight EV models available, GM currently offers the most extensive EV lineup among U.S. automakers, yet Tesla’s 166,923-unit sales in Q3 continue to dominate the market.

Leave a Reply

Your email address will not be published. Required fields are marked *