- General Motors executives signaled on Thursday's first-quarter earnings call that the company plans to hold prices steady for the rest of the year.
- The Trump administration's tariffs on vehicle imports threatened to increase the price of one of America's cheapest EVs, the Chevy Equinox EV.
- The Chevy Equinox EV, Blazer EV and Cadillac Optiq are assembled in Mexico.
General Motors signaled Thursday that it plans to hold prices steady across its U.S. line-up this year, even as it braces for billions of dollars of cost impact on its business due to the Trump administration’s tariffs. That’s welcome news for electric vehicle buyers, especially those eyeing models like the Chevy Equinox EV, Blazer EV and Cadillac Optiq, which are all assembled in Mexico.
“Pricing was strong in the first quarter as well as in the month of April,” Paul Jacobson, General Motors’ chief financial officer said during the first quarter earnings call. “We now expect pricing to be relatively consistent for the remainder of the year,” he added.
In other words, barring a sudden policy shake-up, don’t expect big price swings on the Equinox EV or Blazer EV. GM builds both in Ramos Arizpe, Mexico, something that has helped make the Equinox EV the most affordable EV in the U.S. with over 300 miles of range. That combination, GM CEO Mary Barra noted, has turned Chevrolet into the fastest-growing EV brand in the country.
The Equinox EV starts at $34,995 before destination. Its entry-level trim can be had for as low as $27,495 if you qualify for the full $7,500 federal clean vehicle credit. Now the threat of tariffs increasing the price of one of America’s cheapest EVs remains subdued, at least for the near future, assuming there are no more uncertainties or surprise policy changes.
Overall pricing of GM’s cars is expected to increase slightly. Jacobson added that North American pricing is expected to be 0.5-1% higher year-over-year, whereas in the pre-tariff guidance, GM was expecting prices to fall by around 0.5-1%.
Still, the company is expecting a massive $4-$5 billion impact from tariffs due to its imports from Korea, Mexico and Canada. It will offset about 30% of that from what the automaker called “self-help initiatives” and other programs like increasing the production of battery modules and cells in the U.S.
GM, along with its battery partner LG Energy Solutions, is now already making more cells in the U.S. than Tesla. Jacobson also added that GM has avoided making frequent adjustments to its EV prices, unlike Tesla and some others that have offered aggressive discounts amid a broader global price war. That stability, along with a wide EV lineup—from the $35,000 Equinox EV to the $130,000 Cadillac Escalade IQ—could help GM weather the tariff storm.
“We feel good about where pricing is versus where we started the year, so we’ve assumed things remain constant from here,” Jacobson said.
Have a tip? Contact the author: suvrat.kothari@insideeevs.com
