General Motors announced on Thursday that its U.S. sales declined 5.5% in the third quarter, totaling 670,974 new vehicles sold. The dip highlights the struggling domestic automaker’s difficulty in converting consumers to battery-electric models as overall demand for EVs has softened.
Sales of GM’s electric vehicles fell sharply across its lineup. Comparisons were particularly harsh against a prior year that saw record EV purchases ahead of the expiration of up to $7,500 in federal tax incentives from the Trump administration. This year, the Chevrolet Equinox EV saw sales plummet 92.4% to 1,905 units. The Blazer EV dropped 84.4%, and the Hummer EV fell 72.9%.
The results contrasted with data from competitor Toyota, which reported a 0.6% increase in sales to 633,223 vehicles. Toyota’s strength came from its electrified portfolio, including hybrids, which accounted for more than 57% of its sales. Sales of these vehicles surged 28.5% to 363,367 units.
Industry analysts note that hybrid vehicles are gaining market share as high fuel costs pressure consumers. With the national average for gasoline at $4.41 according to AAA, demand for larger trucks and SUVs has faced headwinds. GM relies heavily on these segments, though its full-size pickup sales remained relatively flat. Analysts pointed out that GM’s lack of a diverse hybrid lineup—currently offering only the Corvette in that category—likely contributed to its weaker performance.
Despite the overall decline, some of GM’s lower-priced models performed well. The Chevrolet Trailblazer jumped 51%, the Buick Envista rose 18.4%, and the Chevrolet Trax increased 16.3%. However, year-to-date figures showed declines across all GM brands, with Cadillac leading the drop at 25%.
Duncan Aldred, president of GM North America, expressed optimism about the company’s trajectory. “Our business is performing very well, the launch of our next-generation full-size pickup trucks is on track, and we are making investments in new vehicles, innovative technologies, and our U.S. manufacturing footprint to drive our next phase of growth,” Aldred said in a statement.
The report follows a positive outlook from Cox Automotive, which recently raised its 2026 U.S. new-vehicle sales forecast by approximately 2% to 16.1 million units, citing stronger-than-expected sales trends. General Motors is scheduled to release its full quarterly earnings on January 27.
Chevy Trax and Trailblazer doing well is a nice bright spot. Maybe the budget cars are where GM actually wins these days.
I am curious why gas prices are still so high but people still aren’t buying GM’s limited hybrid options. The strategy feels outdated.
Wait, is that Trump administration mention accurate for a Q3 report? The timeline seems a bit off given current political contexts.
Toyota proving hybrids are the sweet spot right now. GM needs to diversify beyond just full EVs if they want to compete again.
It is wild how much the Equinox EV sales dropped. That is a massive plummet that really hurts their portfolio.