General Motors will discontinue production of the Chevrolet Bolt EV in about a year and a half, as the automaker shifts its manufacturing locations. The move reflects changes in the economic and political landscape, influenced by the previous administration's tariff policies and the elimination of the federal EV tax credit, which had offered up to $7,500 for eligible electric vehicles. These factors have increased the cost of building vehicles in China and Mexico for sale in the United States.

The 2023 Chevy Bolt EV, which arrived in dealerships this month with a starting price of $29,990 including destination fees, is currently the only vehicle manufactured at the Fairfax Assembly Plant in Kansas. GM confirmed that production of the Bolt EV will end as the next-generation Buick Envision, currently built in China, will move to the Fairfax Assembly Plant in Kansas, beginning in 2028. The gas-powered Chevrolet Equinox, currently assembled in San Luis Potosí, Mexico, will also move to the Kansas plant.

The factory adjustments come as GM aims to optimize its production footprint in response to evolving trade dynamics. The Trump administration's tariffs and the removal of EV tax credits altered the financial equation for importing vehicles from China and Mexico. The changes made it more economical to produce vehicles within the United States.

Industry analysts suggest that GM's decision reflects a broader trend among automakers to re-evaluate their global supply chains and manufacturing strategies. The shift towards domestic production could potentially create jobs in the U.S. and reduce reliance on foreign manufacturing.

The discontinuation of the Bolt EV, one of the most affordable EVs on the market, may impact consumers seeking budget-friendly electric options. However, the move to produce the Buick Envision in the U.S. signals GM's commitment to expanding its vehicle production in the country. The company did not specify the exact date for the end of Bolt EV production.