production of electric vehicles at Factory Zero by General Motors is being temporarily stopped due to decreasing consumer demand.
General Motors (GM) has announced a temporary production halt at its Factory Zero plant in Detroit-Hamtramck, impacting the GMC Hummer EV and Cadillac Escalade IQ. The decision comes as a response to decreased demand in the electric vehicle (EV) market.
The production pause, which will last one month, beginning September 2 and ending October 6, will affect both first- and second-shift production. Approximately 360 employees at Factory Zero will be placed on temporary layoff status, with the extended second-shift layoff continuing until October 6.
GM's spokesperson, Kevin Kelly, explained that the adjustments are being made to align production with market dynamics. This move is part of GM's standard process of managing vehicle inventory.
Despite the temporary halt, GM remains the second-largest EV seller in the U.S., behind only Tesla. The company sold 46,000 electric vehicles in the U.S. between April and June 2025, its best EV quarter to date.
In a positive development, the affordable Chevrolet Bolt EV is set to return in 2026, redesigned on a new platform and featuring Tesla's NACS charging port.
The production halt at Factory Zero follows a series of job cuts at the plant. In April, GM cut 200 jobs at Factory Zero due to slower-than-expected demand for its electric vehicle lineup.
Last year, GM also lowered its 2024 EV production targets due to sluggish adoption in the U.S. However, the company remains optimistic about the future of EVs and continues to invest in its electric vehicle infrastructure.
It's worth noting that employees at Factory Zero may still be eligible for subpay and benefits under the GM-UAW national contract during this temporary production halt.
As GM navigates the evolving EV market, it continues to prioritise quality and innovation, ensuring it remains a key player in the industry.
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