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Opinion: GM’s $1B EV investment in Mexico is not what America needs

Credit: General Motors

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General Motors ‘(GM) decision to invest $1 billion for EVs in Mexico instead of the United States is not the “EV leadership” that America needs. President Biden heaped a lot of syrupy sweet praise on the automaker for “electrifying the automotive industry” although we all know it was Tesla and not GM.

The president also hyped up GM for creating only 4,000 American jobs (Tesla created over 100,000 jobs) and investing $7 billion.

GM’s $1 Billion Investment In Mexico

GM announced that it will produce its new Chevy Blazer EV in Mexico. Recently, the automaker unveiled the Chevy Blazer which will be available by Fall 2023. Earlier today, Reuters reported that GM will produce the 2024 Chevrolet Blazer EV at Ramos Arizpe in Mexico.

According to the article, GM will build the 2024 Chevrolet Blazer EV at a plant in Ramos Arizpe and that it will be ready to be sold in Mexico by the end of 2023.

The Detroit News reported that United Auto Workers Vice President, Terry Dittes, who is head of the union’s GM Department said that this was a slap in the face to UAW and the U.S. taxpayers.

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“At a time when General Motors is asking for a significant investment by the U.S. government in subsidizing electric vehicles, this is a slap in the face for not only UAW members and their families but also for U.S. taxpayers and the American workforce.”

“General Motors automobiles made in Mexico are sold in the United States and should be made right here, employing American workers,” he added. “That is why our nation is investing in these companies. Taxpayer money should not go to companies that utilize labor outside the U.S. while benefiting from American government subsidies. This is not the America any of us signed on for. Frankly, it is unseemly.”

GM Made A Mockery Of President Biden

Last year and earlier this year, President Biden made a point to ignore Tesla’s contributions to the EV space in favor of GM.

During the State of the Union address, President Biden praised GM for investing $7 billion into EVs and for creating 4,000 new jobs in Michigan. What he didn’t mention were the over 100,000 jobs that Tesla created for Americans. He also didn’t acknowledge Tesla’s $10 billion investment in EVs either.

In fact, it took a viral petition that my friend, Gail Alfar, and I started to encourage President Biden to acknowledge Tesla’s leadership in the EV space.

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President Biden Claimed GM Was The EV Leader

In November 2019, the U.S. President toured GM’s Factory Zero and said that GM: “electrified the entire automotive industry” under CEO Marry Barra’s leadership. He added that Mary Barra electrified the entire automotive industry. This is an outright lie.

“In the auto industry, Detroit is leading the world in electric vehicles. You know how critical it is? Mary, I remember talking to you way back in January about the need for America to lead in electric vehicles. I can remember your dramatic announcement that by 2035, GM would be 100% electric. You changed the whole story, Mary. You did, Mary. You electrified the entire automotive industry. I’m serious. You led, and it matters.”

EVs, Jobs, and Lies

The idea that GM is the EV leader and is providing the most jobs in America for EVs is laughable. yet this thought was pushed by the Biden administration while trying to suppress Tesla and its actual leadership of the industry.

This hurts Tesla’s American employees. And it makes our president look foolish. Especially now that GM is going to build its newest EV in Mexico. Although $1 billion isn’t as much as the $7 billion investment, it is still investing money for EVs in Mexico and not the U.S.

In her statement to The Detroit News, U.S. Representative Debbie Dingel emphasized that EVs must be built in the U.S. and that not one American dollar should support American jobs being shipped off to Mexico.

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“Electric vehicles must be built here in America by the finest workforce in the world — the American workers. Not one American dollar should support our own jobs being shipped off to Mexico — especially when we have the workers and the technology to manufacture electric vehicles ourselves.”

“General Motors needs to reaffirm their commitment to working families now. I am focused on ensuring auto innovation and manufacturing stays in the hands of hard-working American people.”

Tesla Is The Most American-Made Vehicle

GM, in my opinion, is only making EVs because Tesla has proven that not only is it possible to mass produce them but that people want EVs. If this wasn’t the case, GM wouldn’t have crushed all of its EV1 vehicles.

If GM truly believed in EVs, there wouldn’t have been a need for Tesla to be founded. In addition to that, GM and these other automakers seem to only want to “beat Tesla.”

Tesla’s mission is completely different. Tesla is focused on accelerating the transition to sustainability.

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I admit, I tweeted the above before coffee and forgot about it until Elon Musk replied to it. The point I was making was this: it’s not fair to Americans that GM is investing even one cent into Mexico especially since the U.S. President has been hyping it up as the job creator for the EV industry.

We all know Mexico has cheaper labor. And no offense to anyone in Mexico, but if you’re going to market yourself as an American company producing American-made EVs, then your EVs need to be American-made.

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Elon Musk is right. Tesla is the most American-made vehicle. You can read more about that award here.

 

Johnna Crider is a Baton Rouge writer covering Tesla, Elon Musk, EVs, and clean energy & supports Tesla's mission. Johnna also interviewed Elon Musk and you can listen here

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Tesla makes two big interior changes to several Model Y vehicles

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Credit: Tesla

Tesla has made two big interior changes to several Model Y vehicles in its lineup, and the changes come just as the new model year begins production.

Last year, Tesla launched the Model Y Standard, which separated the previous models into the “Premium” category. The Standard vehicles lack several features, including more premium interior materials, acoustic-lined glass, and storage.

@teslarati There are some BIG differences between the Tesla Model Y Standard and Tesla Model Y Premium #tesla #teslamodely ♬ Sia – Xeptemper

The Model Y “Premium” trims are now getting several new upgrades, which come after the company launched a seven-seat configuration of the vehicle last night in the North American market for an upcharge of $2,500.

The new Model Y seven-seat configuration did not come with just an additional row of seating; it also came with a slew of other goodies that now come standard and were previously only available on the Model Y Performance, which was launched late last year.

All Black Headliner

The new Tesla Model Y Premium trims will now come standard with a black headliner, something that many owners have been requesting for some time.

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The previous grey headliner and trim within the vehicle is now gone; it will be all black on all of the Premium trims from here on out, a welcome change:

Credit: Tesla

Larger and Higher Resolution Center Touchscreen

The center touchscreen in the new Model Y Premium configuration is now larger and has a higher resolution than the previous version.

In last year’s Model Y configurations (apart from the Performance), the center touchscreen was 15.4″. Now, Tesla has decided to go with the 16″ version across all Premium trims, which is a nice step up. It was nice to see this in the Performance, but it is really great to see Tesla include this in the Model Y’s more Premium trim levels.

Tesla Model Y Seven Seater

Tesla launched the latest iteration of the seven-seater for the Model Y on Monday night. Traditionally, the Model Y seats five passengers in total, but there were calls for a more spacious version several years ago.

Tesla released it, but it was extremely tight in the back, basically reserving those back seats for only small people or children.

Credit: Tesla

The new configuration looks to be slightly more spacious in the third row, but not as much space as most would require or want. Instead,

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Lufthansa Group to equip Starlink on its 850-aircraft fleet

Under the collaboration, Lufthansa Group will install Starlink technology on both its existing fleet and all newly delivered aircraft, as noted by the group in a press release.

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Credit: Lufthansa

Lufthansa Group has announced a partnership with Starlink that will bring high-speed internet connectivity to every aircraft across all its carriers. 

This means that aircraft across the group’s brands, from Lufthansa, SWISS, and Austrian Airlines to Brussels Airlines, would be able to enjoy high-speed internet access using the industry-leading satellite internet solution.

Starlink in-flight internet

Under the collaboration, Lufthansa Group will install Starlink technology on both its existing fleet and all newly delivered aircraft, as noted by the group in a press release

Starlink’s low-Earth orbit satellites are expected to provide significantly higher bandwidth and lower latency than traditional in-flight Wi-Fi, which should enable streaming, online work, and other data-intensive applications for passengers during flights.

Starlink-powered internet is expected to be available on the first commercial flights as early as the second half of 2026. The rollout will continue through the decade, with the entire Lufthansa Group fleet scheduled to be fully equipped with Starlink by 2029. Once complete, no other European airline group will operate more Starlink-connected aircraft.

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Free high-speed access

As part of the initiative, Lufthansa Group will offer the new high-speed internet free of charge to all status customers and Travel ID users, regardless of cabin class. Chief Commercial Officer Dieter Vranckx shared his expectations for the program.

“In our anniversary year, in which we are celebrating Lufthansa’s 100th birthday, we have decided to introduce a new high-speed internet solution from Starlink for all our airlines. The Lufthansa Group is taking the next step and setting an essential milestone for the premium travel experience of our customers. 

“Connectivity on board plays an important role today, and with Starlink, we are not only investing in the best product on the market, but also in the satisfaction of our passengers,” Vranckx said. 

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Tesla locks in Elon Musk’s top problem solver as it enters its most ambitious era

The generous equity award was disclosed by the electric vehicle maker in a recent regulatory filing.

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Credit: Duke University

Tesla has granted Senior Vice President of Automotive Tom Zhu more than 520,000 stock options, tying a significant portion of his compensation to the company’s long-term performance. 

The generous equity award was disclosed by the electric vehicle maker in a recent regulatory filing.

Tesla secures top talent

According to a Form 4 filing with the U.S. Securities and Exchange Commission, Tom Zhu received 520,021 stock options with an exercise price of $435.80 per share. Since the award will not fully vest until March 5, 2031, Zhu must remain at Tesla for more than five years to realize the award’s full benefit.

Considering that Tesla shares are currently trading at around the $445 to $450 per share level, Zhu will really only see gains in his equity award if Tesla’s stock price sees a notable rise over the years, as noted in a Sina Finance report.

Still, even at today’s prices, Zhu’s stock award is already worth over $230 million. If Tesla reaches the market cap targets set forth in Elon Musk’s 2025 CEO Performance Award, Zhu would become a billionaire from this equity award alone.

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Tesla’s problem solver

Zhu joined Tesla in April 2014 and initially led the company’s Supercharger rollout in China. Later that year, he assumed the leadership of Tesla’s China business, where he played a central role in Tesla’s localization efforts, including expanding retail and service networks, and later, overseeing the development of Gigafactory Shanghai.

Zhu’s efforts helped transform China into one of Tesla’s most important markets and production hubs. In 2023, Tesla promoted Zhu to Senior Vice President of Automotive, placing him among the company’s core global executives and expanding his influence beyond China. He has since garnered a reputation as the company’s problem solver, being tapped by Elon Musk to help ramp Giga Texas’s vehicle production. 

With this in mind, Tesla’s recent filing seems to suggest that the company is locking in its top talent as it enters its newest, most ambitious era to date. As could be seen in the targets of Elon Musk’s 2025 pay package, Tesla is now aiming to be the world’s largest company by market cap, and it is aiming to achieve production levels that are unheard of. Zhu’s talents would definitely be of use in this stage of the company’s growth.

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