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GM Idles Detroit EV Plant, Temporarily Laying Off 1,300 Workers

GM idled FactoryZero, laying off 1,300 workers due to weaker-than-expected electric vehicle demand after EV tax credit ended, company confirmed March 30.

  • On Monday, General Motors Co. confirmed the temporary layoff of 1,300 workers at its FactoryZero electric vehicle plant, citing sluggish demand for battery-powered models. The facility will remain idled until April 13.
  • These layoffs follow a steep drop in EV sales after the Trump Administration ended the $7,500 federal tax credit last year. General Motors has reported $7.6 billion in write-downs on its electric vehicle programs.
  • Automakers are scaling back production plans as demand remains uncertain. Sam Fiorani, vice president of global vehicle forecasting at AutoForecast Solutions LLC, said "Consumers don't like sudden inflation, especially with energy costs."
  • Impacted employees may be eligible for subpay and benefits under the GM-UAW national contract. The facility manufactures the GMC Hummer EV, Chevrolet Silverado EV, and Cadillac Escalade IQ electric SUV.
  • Meanwhile, just 30 miles north, General Motors continues retooling its Orion Assembly plant to produce gas-powered pickup trucks and SUVs. This contrasts sharply with 2020, when the company committed $35 billion to launch over 30 new battery-powered models globally.
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The Detroit NewsThe Detroit News
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Greater Milwaukee TodayGreater Milwaukee Today
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GM lays off 1,300 workers at FactoryZero EV plant

The layoffs follow a steep drop off in EV sales, regulatory changes under the Trump administration.

·Detroit, United States
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Reuters broke the news in United Kingdom on Monday, March 30, 2026.
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