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  • GM’s Troubles with Bolt EV Grow as it Recalls 73K More Vehicles

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    General Motors’ problems with the Chevrolet Bolt EV keep expanding, the company announcing late Friday it’s including an additional 73,000 vehicles in the recall. 

    2019 Chevrolet Bolt EV
    GM added another 73,000 Chevy Bolt EVs to the recall list with the older models.

    The new models include the 2019 cars not included in the first action as well as all of the 2020-2022 EVs. A defect in the battery can cause the vehicles to catch fire. The company already recalled more than 69,000 2017-2019 models for the problem — at a cost of about $800 million to replace the batteries.

    Now, the additional 70K-plus electric vehicles basically account for all of the Bolts produced. The company said add $1 billion to the earlier total, bringing the overall cost to fix the problem to just about $1.8 billion.

    “In rare circumstances, the batteries supplied to GM for these vehicles may have two manufacturing defects — a torn anode tab and folded separator — present in the same battery cell, which increases the risk of fire,” the company said in a statement released Friday. 

    “Out of an abundance of caution, GM will replace defective battery modules in Chevrolet Bolt EVs and EUVs with new modules, with an expected additional cost of approximately $1 billion.”

    2022 Chevrolet Bolt EV
    The 2022 Chevrolet Bolt is now part of the ongoing recall of the company’s electric vehicles.

    Trying to resolve the problem

    The company attempted to resolve the issue with the initial recall, believing a software tweak could settle it. However, two more vehicles caught fire — one after getting the update — forcing GM to issue a recall again to replace the batteries in the initial pool of affected vehicles.

    As owners waited, it asked them to park their vehicles away from outside of their garages or other buildings after charging. It also recommended the vehicles not be charged past 90% capacity — all to no avail.

    Apparently, after further investigation, the company discovered the issue affected newer models outside of the original pool of 2017-2019 model-year vehicles. 

    GM confirmed to CNBC there has been one fire in the new population of recalled vehicles. Including the previous confirmed fires from in the first round of recalled vehicles, a total of 10 of the EVs have caught fire.

    charred Chevy Bolt in garage
    One of the two recent Bolt fires included a vehicle that completed the software update.

    The company continues to ask affected Bolt EV owners to set their vehicles to a 90% state of charge limitation using Hilltop Reserve mode (for 2017-2018 model years) or Target Charge Level (for 2019 model year) mode.

    Earlier plan fails to solve the problem

    GM said earlier the high-voltage batteries being recalled were produced in South Korean battery manufacturer LG Chem’s facility in Ochang, South Korea. 

    The company disclosed July 23, along with LG Chem, it identified the presence of two manufacturing defects in the same battery cell as the root cause of battery fires in certain Bolt EVs. GM described the defects as “rare” by GM. 

    LG Energy Solutions, a wholly owned LG Chem battery subsidiary, said in a statement to Reuters it “will actively cooperate to ensure that the recall measures are carried out smoothly.” 

    Last month, GM disclosed it was taking an $800 million charge to cover the cost of the recall of the battery electric vehicles.


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  • GM Advises Chevrolet Bolt Owners to Park Their Cars Outside — Again

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    NHTSA says the 2017 Chevrolet Bolt EV’s battery pack, located under the rear seat, can potentially catch fire.

    General Motors and the National Highway Traffic Safety Administration are urging owners of previously recalled 2017-19 Chevrolet Bolt electric vehicles to once again park their cars outside and away from houses after two recalled and repaired cars caught fire. 

    The company hasn’t said what sparked the fires. NHTSA says the recall involves the high-voltage battery pack underneath the backseat cushion. The packs can potentially smoke and ignite, spreading to the rest of the vehicle.

    The company issued the latest advisory “out of an abundance of caution,” instructing Chevrolet Bolt owners to park their vehicles outdoors immediately after charging and not leave their vehicles charging overnight.

    Despite the recommendation, GM says customers should continue to getting their Bolts fixed under the recall while they continue investigating the incidents. The fix limits the battery pack’s charging capacity to 90% until a permanent solution is determined. The batteries were manufactured at LG Chem’s Ochang, South Korea factory.

    A continuing problem for Chevrolet

    Chevrolet Bolts, shown charging, use LG Chem batteries that are at risk of catching fire.

    NHTSA opened an investigation into Chevrolet Bolt fires last October, which was followed by a recall in November. The action affected 69,000 Bolts from the 2017-2019 model years, approximately 51,000 of which were sold in the U.S. The company said at the time that Bolt, resulting in two injuries from smoke inhalation. The fix limits the battery pack’s charging capacity to 90% until a permanent fix is determined. The batteries were manufactured at LG Chem’s Ochang, South Korea factory. 

    Owners of Chevrolet Bolts, or any GM vehicle can see of their car, truck or SUV is being recalled by visiting a special GM website and entering their vehicle’s Vehicle Identification Number, or VIN. 

    Lithium Ion batteries trial by fire

    2019 Hyundai Kona Electric front
    Hyundai is recalling about 76,000 Kona EVs built between 2018 and 2020.

    But GM isn’t the only automaker facing lithium ion battery fires. Hyundai Motor Co., Ford Motor Co. and BMW AG have faced similar recalls in recent months.

    In February, Hyundai recalled 82,000 battery-electric vehicles worldwide for lithium ion batteries that could catch fire. Vehicles affected include approximately 76,000 battery-electric Hyundai Kona EVs built between 2018 and 2020, with the rest consisting of Hyundai Ioniqs and city buses. Hyundai replaced the batteries rather than resolving the issue through software updates. The recall, which cost Hyundai $900 million, comes after at least 15 Konas reportedly caught fire. 

    LG Chem, which produces the cells, claims the automaker incorrectly applied recommendations about fast battery charging management. Hyundai advised vehicle owners to limit charging to 90% of the battery capacity until the cells can be replaced. Nevertheless, the battery supplier assumed 70% of the recall cost.

    2021 BMW 330e rear
    The 2021 BMW 330e was recalled in September 2020 for a risk of fire.

    BMW issued a recall in September of its plug-in hybrid models after they were found to be at a risk for catching fire. The car’s batteries, made by Samsung, had welding debris left inside the pack that could create a short between modules. The recall covered 4,509 plug-in hybrid BMW or Mini vehicles in the U.S., and 26,900 vehicles worldwide.

    Vehicles recalled include: the 2021 BMW X5 xDrive 45e; 2021 BMW 745Le xDrive; 2020-21 BMW 530e, 530e xDrive, 530e iPerformance; 2020-21 Mini Cooper Countryman All4 SE; 2020-21 BMW X3 xDrive30e; 2021 BMW 330e, 330e xDrive; and 2020 BMW i8.

    The growing number of fire-related recalls in battery electric vehicles illustrates the challenges involved with managing flammable lithium-ion batteries that have previously caused fires in laptops, tablets and other electric devices. 


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  • Battle Between Nikola, Hindenburg Heats Up with SEC Probe

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    Nikola’s Trevor Milton continues to deny many parts of the recent report from Hindenburg Research accusing the company of fraud.

    The battle between Nikola Corp. and Hindenburg Research is heating up as the U.S. Securities and Exchange Commission is now investigating the EV startup based on some of the allegations laid out in a recent report by the short-selling research firm.

    Nikola, which recently finalized a $2 billion deal with General Motors, angrily denied the charges in the report, fraud being the most damning, and suggested it may file suit against the research firm about the allegations. Since then, the company has started working with SEC investigators. The SEC has not commented on the probe.

    “On September 11, Nikola’s legal counsel proactively contacted and briefed the U.S. Securities and Exchange Commission (SEC) regarding Nikola’s concerns pertaining to the Hindenburg report. Nikola welcomes the SEC’s involvement in this matter,” the company said in a statement.

    (Nikola CEO Angrily refutes claims of short-selling research firm.)

    In the wake of the report, the Phoenix-based company revealed it engaged law firm Kirkland and Ellis to evaluate its options. The research report, which was released Sept. 10, is titled “How to Parlay an Ocean of Lies into a Partnership with the Largest Auto OEM in America.”

    Hindenburg Research’s report claims that Nikola committed fraud to get a deal with GM.

    While clearly a reference to the new deal with GM, the firm claimed on its website, “Today, we reveal why we believe Nikola is an intricate fraud built on dozens of lies over the course of its Founder and Executive Chairman Trevor Milton’s career.”

    The ongoing news temporarily put GM Chairman and CEO Mary Barra on the hot seat during a question-and-answer session during her online appearance at the RBC Capital Markets Global Industrials Virtual Conference. Barra touted the new deal with the EV upstarts, saying that it was a great strategic fit for the automaker and its own electric vehicle development program.

    “It allows us to have more people using the technology, which gives us the advantage of scale, which will help us drive costs down,” Barra said.

    (GM forges $2B deal with Nikola to build trucks, develop new electric and fuel-cell technology.)

    “And then from a fuel cell perspective, using the Hydrotec fuel cell technology, and entering a new segment for us, a growth segment, again validating our fuel cell technology, I think it starts to unlock an all-new growth area for us as it relates to fuel cells.”

    GM Chairman and CEO Mary Barra said earlier that the company had done due diligence on Nikola.

    However, when pressed about the allegations in the Hindenburg report, including that Nikola engaged in “lies and deception” in showcasing its electric vehicle technology, including staging a video that showed one of its trucks cruising down a hill, Barra said the company had conducted its due diligence before closing the deal. She then referred further questions about Nikola to representatives of the Phoenix-based company.

    Nikola was on the offensive earlier Monday, noting there were “dozens” of inaccurate statements in Hindenburg’s report, and it outlined several examples. It also made the same claims last week when the report was initially released.

    Aside from denying many charges, the company is also explaining some of the them in the report, such as towing one of its truck prototypes to the top of a hill and allowing it to roll down, appearing to be operating under its own power.

    (Nikola Motors begins taking reservations for Badger hydrogen/electric pickup.)

    “Nikola never stated its truck was driving under its own propulsion in the video, although the truck was designed to do just that (as described in previous point),” the company states. “The truck was showcased and filmed by a third party for a commercial. Nikola described this third-party video on the Company’s social media as ‘In Motion.’ It was never described as ‘under its own propulsion’ or ‘powertrain driven.’”


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