LANSING, Mich — General Motors is making a significant pivot away from electric vehicles at its Lansing Grand River plant, announcing plans for a new gas-powered Cadillac CT5 sedan even as the company received $500 million in federal funding for electric vehicle production.
- GM announces new gas-powered Cadillac CT5 for its Lansing Grand River plant, marking a significant pivot away from the facility's planned electric vehicle transition.
- $500 million in federal funding at risk as the Trump administration reviews the Biden administration grant that was intended to support electric vehicle production at the Michigan plant.
- Current CT4 and CT5 models ending production in 2026, with the new gas-powered CT5 representing GM's "strong commitment to the long-term future of the plant," according to company officials.
The luxury automaker confirmed plans for the new gas-powered CT5 sedan, marking a notable shift in strategy for the Michigan facility that had been earmarked for a major electric vehicle transition.
"This is a strong commitment to the long-term future of the plant and GM's wider presence in the Lansing area," Fred Woodhams, the regional plant communications lead for the Grand River and Delta Township Assembly, said.
WATCH BELOW: GM shifts back to gas-powered cars at Michigan plant
The announcement comes as the current CT4 and CT5 models will be discontinued at the end of 2026. Global Cadillac VP John Roth says the new CT5 will be built at the Lansing Grand River Assembly Plant.
The decision represents a complicated backstory for the facility. The plant received a $500 million federal grant under the Biden administration for electric vehicle production, but those plans have reportedly stalled.
Now the Trump administration is reviewing that grant and may cancel it. The Department of Energy says no final decisions have been made regarding the funding.
The shift has surprised some local residents who had embraced electric vehicle technology. Sandy Bare, a neighbor who recently purchased an electric vehicle, expressed her commitment to the technology.
"I knew that I wanted an electric for my next car," Bare said.
Despite the automaker's change in direction, Bare remains optimistic about electric vehicles' future prospects.
"I just feel that that's the way the future is going to go," Bare said.
This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
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