Follow us today...
If you have been sitting on the sidelines of the electric vehicle revolution, waiting for the "early adopter tax" to fade, your patience may have just paid off in a spectacular fashion. In a move that has sent ripples through the automotive finance world, General Motors has aggressively slashed lease pricing on two of its most critical Ultium-based vehicles: the Cadillac Lyriq and the Chevy Blazer EV.
As we close out 2025, a year defined by volatile EV adoption rates and shifting government incentives, GM is making a decisive play for market share. These aren't just standard holiday sales events; they are strategic recalibrations designed to keep metal moving in a post-subsidy environment. But are these deals truly a "great value," or is there a catch? Let’s pop the hood on the numbers and see what this means for the future of GM’s electric ambitions as we head into 2026.
The Numbers: Are These Lease Deals for Real?
The headlines are turning heads for a reason. We are seeing effective monthly payments on the Cadillac Lyriq drop into the mid-$400 range for well-qualified lessees, with some regional "unicorn" deals—particularly in markets like Texas where stacking incentives is possible—dipping even lower. Considering the Lyriq is a luxury SUV with a starting MSRP hovering near $60,000, leasing it for less than the cost of a mid-spec Honda CR-V financing payment is startling.
Simultaneously, the Chevy Blazer EV, a vehicle that had a rocky launch but has since found its footing, is seeing lease offers in the $300-$400 range. This puts a customized, tech-forward electric crossover within striking distance of budget-conscious families who previously felt priced out of the EV segment.
- Is this a great value? objectively, yes. The "1% rule" of leasing suggests that a good lease deal costs about 1% of the MSRP per month with $0 down. GM’s current offers, especially when you factor in the aggressive residual value support they are offering to offset the expiration of federal tax credits in September, are well under this benchmark.
GM is essentially subsidizing the depreciation of these vehicles to keep monthly payments artificially low. For the consumer, this mitigates the biggest risk of EV ownership right now: resale value. By leasing, you lock in a low payment and walk away in 24 or 36 months, letting GM worry about what the battery technology landscape looks like in 2028. If you are looking for a premium daily driver, the value proposition here is currently unmatched in the market.
Why GM is Slashing Prices Now
You might ask, "If these cars are so good, why are they on sale?" The answer lies in the expiration of the federal EV tax credit this past September and the need to sustain momentum.
GM had a record-breaking Q3 in 2025, delivering over 66,000 EVs and seeing a 60% year-over-year jump. However, much of that volume was driven by buyers rushing to beat the tax credit deadline. The fear in the boardroom was a "Q4 hangover"—a massive drop-off in sales once the $7,500 government carrot disappeared.
To prevent inventory from piling up on dealer lots, GM Financial stepped in. They are using "subvented leases"—artificially inflating the residual value (the estimated value of the car at the end of the lease) or offering large amounts of lease cash to lower the capital cost. This mimics the effect of the tax credit without the government's help.
This strategy proves that demand for EVs is elastic; people want them, but they are price-sensitive. When the price is right, the cars move. GM is betting that maintaining market share and getting more Ultium platforms on the road is worth the short-term cost to their profit margins. They are playing the long game, trying to cement Chevy and Cadillac as the default options for legacy auto buyers transitioning to electric.
GM’s Electric Report Card: Winning the Volume Game
Taking a step back from the lease sheets, how is GM actually doing with EVs generally? The narrative has shifted dramatically from the "production hell" of 2023 and 2024.
The standout star has undoubtedly been the Chevy Equinox EV. It has quietly become the best-selling non-Tesla EV in the United States, offering a blend of range and utility that hits the sweet spot for the average American commuter. The success of the Equinox EV proves that the market was starving for a "normal" electric car—one that doesn't look like a spaceship and doesn't cost six figures.
Meanwhile, Cadillac has successfully rehabilitated its image. The Lyriq is now the #2 best-selling EV in the luxury segment, outpacing rivals from BMW and Mercedes-Benz. The brand is no longer just "your grandfather's Cadillac"; it is becoming a legitimate tech leader.
The Ultium platform, despite early software hiccups, is finally scaling. We are seeing it underpin everything from the massive Silverado EV to the affordable Equinox. GM's decision to stick with a unified battery architecture seems to be paying dividends in manufacturing efficiency, allowing them to pull these pricing levers that smaller competitors simply can't match.
The Road to 2026: Turbulence or Takeoff?
As we look toward 2026, the crystal ball is a mix of optimism and caution.
Sales Forecasts: Analysts at Edmunds and Cox Automotive are predicting a potential dip in EV market share for early 2026, possibly sliding back to around 6% from the highs of 2025. This "cooling off" is attributed to the exhaustion of early adopters and the "deal-seekers" exiting the market as incentives dry up for other brands that can't afford to subsidize leases like GM.
Market Conditions: However, the total U.S. auto market is expected to stabilize around 16 million units. The battleground for 2026 will be affordability. The return of the Chevy Bolt (the next-generation model utilizing LFP batteries) will be critical. If GM can launch the new Bolt at a sub-$30,000 price point without relying on leasing tricks, they could buck the industry trend and continue growing volume while competitors stall.
Vendor Market Share: Expect to see a consolidation of power. Tesla remains the king, but their market share is eroding as legacy players like GM and Hyundai/Kia surge. In 2026, GM is positioned to solidify its spot as the clear #2 in the EV space, potentially widening the gap between themselves and Ford, who has pulled back on some EV investments. The wildcard is Rivian; with the R2 platform expected to ramp up, the mid-size SUV segment (where the Blazer EV lives) is about to get even more crowded.
Interest rates will also play a massive role. If the Federal Reserve eases rates in 2026, the reliance on manufacturer-subsidized leasing might lessen, allowing for more organic sales growth. But for now, cash (or a low lease factor) is king.
Wrapping Up
The dramatic price reductions on the Cadillac Lyriq and Chevy Blazer EV are more than just a holiday fire sale; they are a calculated maneuver by a legacy giant flexing its financial muscle. GM has solved its production problems and is now tackling the demand problem with the oldest trick in the book: a price cut.
For you, the consumer, the "why" matters less than the "what." And what we have right now is a window of opportunity to drive some of the most advanced vehicles on the road for a monthly payment that feels like a throwback to 2019. If you can live with the lease mileage limits and have a home charger, this is arguably the best time in history to put a GM EV in your driveway.
Disclosure: Images rendered by Artlist.io
Rob Enderle is a technology analyst at Torque News who covers automotive technology and battery developments. You can learn more
Follow us today...
