GM and Honda Cancel Affordable Electric Vehicle Plans Amid Slowing Sales and Rising Costs

GM and Honda cancel plans to jointly develop affordable electric vehicles

The automakers had announced the collaboration in 2021 to make compact crossovers using GM's Ultium batteries

First model was slated to debut in North America in 2027, with some for global markets

Decision comes after disappointing Q3 earnings for GM amid slowing sales and rising costs

GM also delayed goals for EV production capacity and market launch of Equinox EV

In Q3, GM's EV sales were just over 20K out of 670K total vehicles sold

GM says it's now working on a next-gen, more affordable Bolt EV with lithium iron phosphate battery