GM Extends Downtime at EV Factory, Cuts 1,300 More Jobs

Automaker shifts focus back to gas-powered trucks as EV losses mount and demand cools

Mar. 31, 2026 at 9:54am

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General Motors has extended downtime at its Factory ZERO electric vehicle plant in Detroit, temporarily laying off around 1,300 workers until April 13. The move extends production cuts that have already shed over 2,300 jobs at the facility since late 2025 as GM grapples with $7.6 billion in losses on its EV programs and a pullback from multiple electric projects.

Why it matters

The cuts at Factory ZERO, which builds the Chevrolet Silverado EV and GMC Hummer EV, underscore the challenges GM faces in transitioning to electric vehicles. With EV demand cooling and the end of federal tax credits, the automaker is shifting focus back to its more profitable gas-powered trucks and SUVs.

The details

GM said the plant would 'temporarily adjust production to align EV production with market demand.' The company is also increasing heavy-duty truck production at a Michigan plant starting in June, a move mirrored by rival Ford as they prioritize their traditional cash cows.

  • GM extended the Factory ZERO downtime on March 16, 2026.
  • The plant will remain idle until April 13, 2026.

The players

General Motors (GM)

An American multinational corporation that designs, manufactures, markets, and distributes vehicles and vehicle parts, and sells financial services, with global headquarters in Detroit, Michigan.

Factory ZERO

GM's electric vehicle plant in Detroit that builds the Chevrolet Silverado EV and GMC Hummer EV.

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What’s next

GM is expected to report Q1 2026 earnings on or around April 27, 2026.

The takeaway

GM's struggles with its EV transition highlight the complexities automakers face in balancing consumer demand, regulatory pressures, and profitability as the industry shifts towards electrification. The company's pivot back to gas-powered trucks underscores the continued importance of traditional vehicle segments even as the EV market evolves.