General Motors is ending production of its Chevy BrightDrop electric delivery vans following sluggish demand and the expiration of key EV tax credits. “This is not a decision we made lightly because of the impact on our employees,” GM CEO Mary Barra said Tuesday during the company’s third-quarter earnings conference call. “However, the commercial electric van market has developed much more slowly than expected, and changes to the regulatory framework and incentives for fleets have made the business even more challenging.” The Edge reports: Brightdrop first launched in 2021 as GM’s effort to capture a large share of the commercial electric vehicle market, starting with a pair of electric vans, as well as fleet management software and electric cars for delivering goods. The automaker reached deals with Walmart, FedEx and other major retailers to add the truck to their delivery fleets. But after trying to roll it out as a standalone brand, GM reabsorbed BrightDrop in 2023 and then assigned it to Chevy to take advantage of the brand’s sales and service dealer network.
Now the truck will be another victim of the expiration of the $7,500 federal electric vehicle tax credit, which ended on September 30. In addition to the consumer credit, there was also a $7,500 discount for commercial EVs under 18,000 pounds, for which Brightdrop was eligible. The van was a range leader, but it was also more expensive than its leading competitor. Brightdrop vans started at $74,000, while Ford’s E-Transit van with extended battery range sold for $51,600.
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