• General Motors will build its “next-gen affordable EV” in the U.S.
• On Tuesday, the automaker said it will inject $4 billion into its U.S. manufacturing operations to expand capacity over the next two years.
• It also confirmed that the new Bolt EV will enter production by the end of this year. 

General Motors on Tuesday said it will make a “next-gen affordable EV” at its assembly plant in Fairfax, Kansas. The automaker expects to invest $4 billion over the next two years to expand production capacity in the U.S. for both gas-powered and electric vehicles, it said on Tuesday. 

The backdrop here is hard to ignore: President Donald Trump’s tariffs on imported steel, aluminum, vehicles and car parts continue to slam manufacturers from all angles. GM, for its part, has projected up to $5 billion in tariff costs for 2025 alone. 

GM didn’t share any specifics about this upcoming cheap EV, apart from where it will be built. Fairfax is also where GM plans to make the next-generation Chevrolet Bolt EV, after canceling that beloved car in 2023. On Tuesday, GM reaffirmed that the Bolt EV will hit production by the end of 2025.

“Fairfax remains on track to begin building the 2027 Chevrolet Bolt EV by the end of this year. GM expects to make new future investments in Fairfax for GM’s next generation of affordable EVs,” the automaker said in a press release. 

GM president Mark Reuss said in October that the new Bolt will be just one member of a “family” of Bolt EVs, including an even lower-cost option. It wasn’t immediately clear if the “next-gen affordable EV” will be a Chevy Bolt relative or something different.

This product could matter a whole lot more than most new EVs, which are typically $50,000, $60,000 and $70,000 vehicles reserved for higher earners. For years, America has been starved for truly inexpensive, appealing EVs for the masses. Tesla abandoned plans for a $25,000 car long ago, leaving a big hole in the market for any manufacturer willing to fill it. 

The Chevy Equinox EV is a bright spot, but tariffs (it’s made in Mexico) and the likely death of EV purchase incentives could make it far more expensive. The Slate truck could be another exciting option, if that startup manages to get off the ground. 

This market needs far more EVs that regular Americans can afford. With so many of the cheaper options built outside the U.S. and subject to a 25% tariff, a cheap EV built in Kansas can’t come soon enough.

Contact the author: Tim.Levin@InsideEVs.com