President Trump’s trade war continues to cause self-inflicted injuries as American companies are getting slammed by higher fees. This includes General Motors, which revealed tariffs cost them $1.1 billion in the second quarter.

All told, the automaker is expecting tariffs to cost them between $4 and $5 billion this year alone. That’s a staggering figure and one that will likely result in price increases.

More: GM Needs A Corvette Turnaround As Sales Crash In First Half

Tariffs aside, the company earned $47.1 billion in revenue in the second quarter and had an adjusted EBIT (Earnings Before Interest and Taxes) of $3 billion. GM went on to note the latter figure decreased primarily due to tariffs.

In North America, the company reported net revenues of $39.5 billion. This was aided by record crossover sales as well as strong demand for trucks. U.S. dealer inventories were also down in Q2, while EV sales were up significantly.

Other notable takeaways include lower than average incentive spending and average transaction prices in excess of $51,000. The automaker said this shows “robust demand across our portfolio.”

While the elimination of the clean vehicle credit will likely cause chaos, GM noted second quarter EV sales were up 111% from a year ago and they controlled 16% of the U.S. EV market.

Chevrolet became the second best-selling EV brand as sales jumped 146% in Q2. This is largely due to the affordable Equinox EV, which is the third best-selling electric vehicle in America so far this year. The company went on to note Cadillac is the best-selling electric luxury brand and the 5^th largest EV brand in America – including both luxury and mainstream brands.

In a letter to shareholders, CEO Mary Barra acknowledged slower EV growth. However, she said “We believe the long-term future is profitable electric vehicle production, and this continues to be our north star. As we adjust to changing demand, we will prioritize our customers, brands, and a flexible manufacturing footprint, and leverage our domestic battery investments and other profit-improvement plans.” Speaking of flexibility, Barra noted ICE models have a “longer runway” than initially expected.

Lead image credit: White House photo

General Motors has finally acknowledged the obvious: no one is buying the Chevrolet Silverado EV and GMC Sierra EV. As we recently noted, the company only sold 2,383 Silverado EVs and 1,249 Sierra EVs in the first quarter.

Those are dreadful numbers, and they appear to have been the final nail in the coffin for plans to turn Orion Assembly into an EV plant. The facility was originally slated to build electric trucks in 2024, but that date was eventually pushed back to late 2025 to “better manage capital investment, while aligning with evolving EV demand.”

More: The 2026 GMC Sierra EV Now Starts $27,500 Less Than Before

Fast forward to today, and GM has thrown in the towel on its electric truck plans. Instead, Orion Assembly will now build gas-powered full-size SUVs and trucks starting in early 2027. The move means the plant will likely produce the redesigned Chevrolet Silverado, Tahoe, and Suburban as well as the GMC Sierra, Yukon, and Yukon XL.

As for the Silverado EV and Sierra EV, they’ll continue to be built at the nearby Factory Zero in Hamtramck. That facility also builds the GMC Hummer EVs as well as the Cadillac Escalade IQ.

The Gas-Powered Chevrolet Blazer Lives

The aging Chevrolet Blazer was expected to be discontinued, but it’s getting a reprieve as production will begin at Spring Hill Manufacturing in 2027. That facility is best known for making the electric Cadillac Lyriq and Vistiq, but it also builds the dated XT5 and XT6.

Speaking of EV plants doing double duty, Fairfax Assembly is slated to begin building the 2027 Chevrolet Bolt EV by the end of this year. However, it’s getting some company in the form of the gas-powered Chevrolet Equinox, which will be built at the plant in mid-2027.

GM said the move will help support sales of the popular crossover, which was “up more than 30% year-over-year in the first quarter.” However, it’s important to note the model is currently built in Mexico, and this could have played a role in shifting some production stateside.

Unsurprisingly, GM didn’t mention tariffs or slower-than-expected electric vehicle adoption in today’s announcement. Instead, they packaged it in Trump-friendly form as CEO Mary Barra said, “Today’s announcement demonstrates our ongoing commitment to build vehicles in the US and to support American jobs.”

She added, “We’re focused on giving customers choice and offering a broad range of vehicles they love.” That’s a not so subtle hint that gas-powered vehicles aren’t going away anytime soon.

GM said the investments total around $4 billion, which is roughly the same amount of money they were investing in transforming Orion Assembly into an EV truck hub. This begs the question of how much money was squandered on the bad EV bet.