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General Motors told CNBC it will add hybrid models to its U.S. lineup as consumer interest in fuel-saving vehicles climbs amid higher gasoline prices and softer demand for all-electric cars. Mike Anderson, GM’s vice president of propulsion engineering, confirmed hybrids are “part of the plan” but would not commit to a launch timetable.
GM acknowledges shifting customer preferences
After concentrating its efforts on battery-electric vehicles for much of this decade, GM is signaling a broader approach. Anderson, a 35-year company veteran, said the automaker is listening to buyers and intends to respond “as quickly as we can.”
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He reiterated the company’s overall aim remains an all-electric future. “That’s the end state,” Anderson said, while adding that the transition will include a mix of technologies rather than a single path.
Product timing remains unclear
GM has not released specifics about which models will receive hybrid powertrains or when they will appear. The company previously set a goal for plug-in hybrids, but executives declined to provide updated schedules during recent interviews.
Industry forecasters expect a phased rollout. AutoForecast Solutions projects GM could begin offering PHEVs in late 2027 to early 2028, with some versions offering roughly a 70-mile electric range across the portfolio, according to Casey Selecman, the firm’s director of powertrain forecasts.
GM had announced plans in mid-2024 to introduce PHEVs by 2027, a target that had been set when the automaker faced tighter federal tailpipe emissions rules — standards that the company says were later relaxed or removed by the Trump administration.
Why hybrids are gaining traction now
Hybrid sales in the U.S. are rising as consumers weigh the cost and convenience of electrified options. Cox Automotive reported that hybrid vehicle sales grew 23% year-over-year in the second quarter, reaching a record 16.3% share of U.S. retail sales from April through June. By comparison, plug-in and battery-electric models represented about 5.8% of sales in that period.
“Hybrid vehicles continue to be the clearest growth story in the electrified market,” said Stephanie Valdez Streaty, Cox’s director of industry insights.
Types of electrified drivetrains
- Internal combustion engine (ICE): Traditional gasoline or diesel engines.
- Mild-hybrid (MHEV): ICE vehicles with limited electrified features like a small battery or regenerative braking.
- Hybrid electric vehicle (HEV): Systems that pair an engine with electric motors to improve efficiency.
- Plug-in hybrid (PHEV): Hybrids with larger batteries and a plug-in charge port that allow a defined all-electric range before the engine engages.
- Battery-electric vehicle (BEV): Fully electric cars powered exclusively by onboard batteries and recharging infrastructure.
- Fuel-cell electric vehicle (FCEV): Vehicles that generate electricity on board from hydrogen and oxygen rather than drawing power from a battery alone.
- Extended-range electric vehicle (EREV): Vehicles that operate primarily as EVs but use an engine-driven generator once battery energy is depleted.
Where GM stands compared with rivals
GM currently sells only one hybrid model: a variant of the Chevrolet Corvette. The company’s last major hybrid effort, the Chevrolet Volt plug-in, was discontinued in 2019.
By contrast, competitors such as Ford and Stellantis have leaned on outside suppliers to accelerate hybrid introductions. Anderson said GM will pursue a combination of internally developed technologies and externally sourced components depending on cost, vehicle segment and strategic priorities.
“We’re deliberate because, usually for strategic reasons, we need to control our own destiny. We need to control our own timing,” he said, while adding that for commodity items the company will “go get the best price you can.”
Industry analysts and GM executives both portray the move as pragmatic: the company still views a fully electric future as the goal but recognizes that customers are choosing a wider array of powertrains today. “You can see, without me saying what our future plans are, where the customers are clamoring for these things,” Anderson said. “We want to meet them where they want things.”
