General Motors reported a 5.5% year-over-year decline in third-quarter U.S. vehicle sales on Thursday, delivering 670,974 units as consumer demand for electric vehicles dropped significantly across all models. The automotive manufacturer faced steep year-over-year comparisons following last year’s surge in demand, which occurred before the Trump administration eliminated federal incentives of up to $7,500 for electric vehicle purchases.
Through the first nine months of the year, General Motors’ U.S. sales have dropped more than 6% as the automaker grapples with lower demand compared to a record 2025. Market pressures, including high fuel prices with an AAA national average of $4.41 per gallon, are impacting sales of big trucks and SUVs, while enthusiasm for electric vehicles wanes across the automaker’s entire lineup.
Electric Vehicle Sales Decline Across the Lineup
Electric vehicle sales fell dramatically across GM’s lineup during the quarter. The sharp downturn affected newer additions to the electric portfolio particularly hard, following the removal of government subsidies that previously spurred early consumer adoption.
- Equinox EV: Sales dropped 92.4% to 1,905 units.
- Blazer EV: Sales fell significantly by 84.4% compared to the previous year.
- Hummer EV: Sales declined by 72.9% across available trims.
Broader Market Trends and Industry Forecasts
Despite the pullback in battery-electric vehicle demand, broader automotive market indicators remain resilient. Cox Automotive raised its full-year industry forecast by roughly 2% to 16.1 million units. Meanwhile, GM North American President Duncan Aldred stated that the company’s underlying business remains strong despite the quarterly headwinds.
Industry analysts note that the Detroit automaker currently offers only one hybrid vehicle-a Corvette-while working to sell off top-selling internal combustion engine trucks. At the same time, consumer interest is increasingly shifting toward hybrids and fuel-efficient options as gasoline prices remain elevated.
Future Outlook for General Motors
As General Motors navigates shifting powertrain preferences and tougher year-over-year comparisons, the company continues to adjust its manufacturing and distribution strategies. Fleet demand, traditional pickups, and traditional SUVs continue to play a foundational role in maintaining sales volume, even as the EV market transitions into a post-incentive phase.
