Hertz, GM Plan Major EV Expansion

Hertz and General Motors Co. announced an agreement in which Hertz plans to order up to 175,000 Chevrolet, Buick, GMC, Cadillac, and BrightDrop EVs over the next five years, according to GM's news release.

This EV expansion spans from compact and midsize SUVs to pickups, luxury vehicles, and more.

The agreement will encompass electric vehicle deliveries through 2027 as Hertz increases the EV component of its fleet and GM accelerates the production of EVs, according to the news release. Over this period, Hertz said it estimates that its customers could travel more than 8 billion miles in these EVs, saving approximately 3.5 million metric tons of carbon dioxide equivalent emissions compared to similar gasoline-powered vehicles traveling such a distance.

“It’s exciting that two iconic American companies that have shaped the evolution of transportation for more than a century are coming together to redefine the future of mobility in the 21st century,” said Stephen Scherr, Hertz CEO. “We are thrilled to partner with GM on this initiative, which will dramatically expand our EV offering to Hertz customers, including leisure and business travelers, rideshare drivers, and corporates.”

Hertz said its company’s current goal is for one-quarter of its fleet to be electric by the end of 2024.

"Our work with Hertz is a huge step forward for emissions reduction and EV adoption that will help create thousands of new EV customers for GM,” said Mary Barra, GM CEO. “With the vehicle choice, technology, and driving range we’re delivering, I'm confident that each rental experience will further increase purchase consideration for our products and drive growth for our company."

Hertz also added that it expects to begin taking delivery of Chevrolet Bolt EVs and Bolt EUVs in the first quarter of next year. GM deliveries to Hertz are projected to increase as GM scales its EV production between 2023 and 2025, courtesy of the opening of Ultium Cells battery cell plants in Ohio, Tennessee, and Michigan. GM plans annual production capacity of 1 million EVs in North America by 2025, according to the company.