While automakers and suppliers are betting big on future demand for electric vehicles, a near-term global slowdown is causing pain, including bankruptcies, scrapped initial public offerings and production cuts.
Investment in capacity and technology development has outrun actual EV demand, boosting pressure on companies to cut costs.
"It's true, the pace of EV growth has slowed, which has created some uncertainty. We will build to demand," General Motors CEO Mary Barra said on an earnings call Tuesday.
GM previously cut EV production targets due to the slowing demand, but Barra told analysts GM was "encouraged" by industry forecasts that EV sales in the United States are forecast to rise at least 10 percent this year from about 7 percent in 2023.
Ford also previously cut EV production due to a growth rate that is rising more slowly than previously expected.