Automotive giant General Motors (GM) announced today a new $25 million commitment to its climate equity fund, aimed at helping to close equity gaps in the transition to electric vehicles and other sustainable technology. The new investments doubles the company’s total commitment to $50 million.
GM launched the philanthropic fund in June 2021, as part of the company’s efforts to reinforce the need for equity considerations in the automotive industry’s shift toward an all-electric future. GM CEO Mary Barra has pledged that the company will prioritize equitable climate action as it pursues its vision of a zero-emissions future.
The new commitment comes as GM embarks on a transformative strategy to become a market leader in electric vehicles. The company announced a series of initiatives last year including targets to achieve carbon neutrality by 2040, and an aspiration to eliminate tailpipe emissions from new light-duty vehicles by 2035. GM is allocating billions to its EV strategy, with plans for EV and AV investments to $35 billion between 2020 and 2025. Earlier this year, GM made its largest-ever investment announcement, committing $7 billion to significantly ramp its electric truck and battery production capacity in Michigan.
GM has stated that it aims to ensure its all-electric future is inclusive for its current and future workforce, customers, and communities that may be more likely to disproportionately experience the effects of climate change.
The company provided an update on the Climate Equity Fund, noting that since launch, it has supported 21 non-profit organizations that are helping to implement inclusive solutions for a zero-emissions, carbon-neutral future.
Kristen Siemen, GM Chief Sustainability Officer, said:
“As the effects of climate change take hold across the globe, it has never been more urgent to ensure inclusion and equity guide our sustainable solutions. Doubling our Climate Equity Fund will help meet this urgency with deepened engagement at the community level, where we believe our support will have the greatest impact in accelerating the transition to an inclusive zero-emissions future.”