This is somewhat of a predictably tragic outcome all things considered. I remember a previous conversation on these pages when GM moved massive investment into China to build their mid-size SUV brand, Encore.

Continuing the U.S. decline of the brand, the Wall Street Journal is reporting that approximately half of all Buick dealership in the U.S. have opted to take a buyout from GM, as opposed to spending millions in retooling, restructuring and retraining their staff to accommodate the EV influx.

Most of the EV’s shoved onto the dealer lots sit idle without customers to purchase them.

Wall Street Journal – General Motors (GM) has bought out about half of its 2,000 Buick dealers nationwide, based on their decision to not sell electric vehicles, according to a company spokesman Wednesday.

Dealers who are taking the buyout would give up the Buick franchise and no longer sell the brand, he said. The dealer can continue to sell other GM models, such as Chevrolet or GMC, that often account for a higher percentage of sales.

The Wall Street Journal reported in late 2022 that the automaker planned to offer buyouts to its U.S. Buick dealer network. The move came after the Detroit automaker gave the dealers a choice: Invest at least $300,000 to sell and service electric vehicles, or exit the Buick franchise. The investments would cover EV chargers and worker training, among other initiatives. (read more)

The Joe Biden EPA mandates for Electric Vehicles are going to crush the U.S. auto industry and consumers.  On the upside, regular, well-maintained gasoline powered used vehicles will hold their value longer.  Overall new car prices are already ridiculous and the prices of the EV’s are substantially higher.

Along with higher entry prices, the insurance is higher, maintenance costs are higher and the replacement parts for EV’s are insanely high.  In some models the replacement batteries cost more than the vehicle is worth.  How the auto industry thinks these mandates are sustainable is beyond logic, then again maybe that’s the feature, not the flaw.

If the overall goal is to reduce the number of vehicles on the road and control the transportation choices of the American public, then the EV mandate policy is designed well.

It’s all madness, and only one commonsense businessman seems to understand the issue.

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