General Motors said the revocable Chevrolet Bolt electric vehicle campaign would incur $ 1 billion in losses. Machines are recalled due to the risk of fire in the high-voltage battery.
The company also said it would suspend sales of electric vehicles indefinitely due to the problem and would seek reimbursement from battery supplier LG. The latest recall applies to over 73,000 vehicles (model year 2019 to model year 2022).
LG added that it is actively working with its customer and partners to ensure that recall measures are implemented smoothly. General Motors shares fell 2.2% after the close of trading. LG Electronics supplied General Motors with rechargeable batteries manufactured by LG Chem. Earlier this year, Hyundai Motor said it would spend $ 900 million to replace LG batteries in some 82,000 electric vehicles due to fire hazards.
General Motors said Friday that the recall applies to all remaining Bolt vehicles not recalled in July. GM said it will replace defective battery modules in electric vehicles with new modules.
General Motors and LGES have a joint venture, Ultium Cells LLC, which is building battery factories in Ohio and Tennessee, and plans to build two more after that. General Motors said it will use next-generation batteries when launching its Hummer and Cadillac electric cars next year.
In July, General Motors recalled nearly 69,000 Chevrolet Bolts due to fire hazards after reports of two fires and said it would replace defective battery modules as needed. Some Bolt electric vehicles recalled in July were previously recalled last November for a software update to address fire risks, but at least one fire has occurred since a software update. General Motors said Friday that there were a total of 10 Bolt fires.
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
