v3.25.4
Equity in Net Assets of Nonconsolidated Affiliates
 12 Months Ended
Dec. 31, 2025
Equity Method Investments and Joint Ventures [Abstract]  
Equity in Net Assets of Nonconsolidated Affiliates Equity in Net Assets of Nonconsolidated Affiliates
Nonconsolidated affiliates are entities in which we maintain an equity ownership interest and for which we use the equity method of accounting due to our ability to exert significant influence over decisions relating to their operating and financial affairs. Revenue and expenses of our joint ventures are not consolidated into our financial statements; rather, our proportionate share of the earnings of each joint venture is reflected as Equity income (loss) or Automotive and other cost of sales.
Years Ended December 31,
202520242023
Automotive China JVs equity income (loss)$(316)$(4,407)$446 
Ultium Cells Holdings LLC equity income (loss)(a)784 975 293 
Other joint ventures equity income (loss)(283)(268)34 
Total Equity income (loss)$184 $(3,701)$773 
__________
(a)    Equity earnings related to Ultium Cells Holdings LLC, an equally owned joint venture with LG Energy Solution (LGES), are presented in Automotive and other cost of sales as this entity is integral to the operations of our business by providing battery cells for our EVs.

Investments in Nonconsolidated Affiliates
December 31, 2025December 31, 2024
Automotive China JVs carrying amount$1,105 $1,474 
Ultium Cells Holdings LLC carrying amount2,355 3,749 
Other investments carrying amount2,221 1,879 
Total equity in net assets of nonconsolidated affiliates$5,681 $7,102 

The carrying amount of our investments in certain joint ventures exceeded our share of the underlying net assets by $1.6 billion and $1.9 billion at December 31, 2025 and 2024, primarily due to goodwill from the application of fresh-start reporting and the purchase of additional interests in nonconsolidated affiliates.
The following table summarizes our direct ownership interests in our China JVs:
December 31, 2025December 31, 2024
Automotive China JVs
SAIC General Motors Corp., Ltd. (SGM)50 %50 %
Pan Asia Technical Automotive Center Co., Ltd.50 %50 %
SAIC General Motors Sales Co., Ltd. (SGMS)49 %49 %
SAIC GM Wuling Automobile Co., Ltd. (SGMW)44 %44 %
Shanghai OnStar Telematics Co., Ltd. (Shanghai OnStar)40 %40 %
SAIC GM (Shenyang) Norsom Motors Co., Ltd. (SGM Norsom)25 %25 %
SAIC GM Dong Yue Motors Co., Ltd. (SGM DY)25 %25 %
SAIC GM Dong Yue Powertrain Co., Ltd. (SGM DYPT)25 %25 %
Other joint ventures
SAIC-GMAC Automotive Finance Company Limited (SAIC-GMAC)35 %35 %
SAIC-GMF Leasing Co., Ltd. 35 %35 %

SGM is a joint venture we established with Shanghai Automotive Industry Corporation (SAIC) (50%). SGM has interests in three other joint ventures in China: SGM Norsom, SGM DY, and SGM DYPT. These three joint ventures are jointly held by SGM (50%), SAIC (25%), and us. These four joint ventures are engaged in the production, import, and sale of a range of products under the Buick, Chevrolet, and Cadillac brands. SGM also has interests in Shanghai OnStar (20%), SAIC-GMAC (20%), and SAIC-GMF Leasing Co., Ltd. (20%). Shanghai Automotive Group Finance Company Ltd., a subsidiary of SAIC, owns 45% of SAIC-GMAC. SAIC Financial Holdings Company, a subsidiary of SAIC, owns 45% of SAIC-GMF Leasing Co., Ltd.

Impairment and Restructuring Charges In response to intense competition in a market with significant excess capacity and an increasingly challenging regulatory environment related to emissions, fuel consumption, and NEVs, we and our JV partners are restructuring our operations in China. Our Automotive China JVs generated an equity loss of $0.3 billion in the year ended December 31, 2025, which includes $0.6 billion of restructuring-related charges recorded by certain of the China JVs, and an equity loss of $4.4 billion in the year ended December 31, 2024, which includes $2.0 billion of restructuring-related charges and impairments recorded by certain of the China JVs and a $2.1 billion other-than-temporary impairment charge to write down certain of our automotive investments to their fair values. The charges recorded by the China JVs were primarily related to supplier claims in 2025 and asset impairments associated with plant closures and portfolio optimization actions in 2024. As a result of the market challenges and competitive conditions, GM Financial also recorded a $0.3 billion other-than-temporary impairment charge to write down its SAIC-GMAC investment to its fair value in the year ended December 31, 2024.

In the year ended December 31, 2025, we recorded an insignificant amount of restructuring-related charges in equity income in connection with settlements associated with Ultium Cells Holdings LLC's strategic realignment of manufacturing and cell capacity to meet EV demand. Refer to Note 18 for information associated with commercial settlements with Ultium Cells Holdings LLC during the three months ended December 31, 2025.

Fair Value Measurements The investment balance for SGM, SGM Norsom, SGM DY, and SGM DYPT that was tested for impairment in the year ended December 31, 2024 was $2.4 billion, and the investment balance for SAIC-GMAC that was tested for impairment in the year ended December 31, 2024 was $1.5 billion.

In performing our impairment testing, we utilized a third-party valuation specialist to assist in determining the fair values of our investments in the China JVs based on their discounted cash flows (income approach). We made significant assumptions and estimates about the extent and timing of future cash flows, growth rates, market share, and discount rates that represent unobservable, Level 3, inputs into our valuation methodologies. Our fair value estimates assumed the achievement of the future financial results contemplated in our forecasted cash flows which is subject to significant uncertainties.
Summarized Financial Data of Nonconsolidated Affiliates
December 31, 2025December 31, 2024
Automotive China JVsOthersTotalAutomotive China JVsOthersTotal
Summarized Balance Sheet Data
Current assets$12,837 $8,685 $21,522 $11,203 $10,862 $22,065 
Non-current assets5,826 10,936 16,762 6,518 11,434 17,952 
Total assets$18,663 $19,621 $38,284 $17,721 $22,296 $40,017 
Current liabilities$18,924 $6,036 $24,960 $17,076 $7,722 $24,798 
Non-current liabilities815 1,559 2,374 887 2,562 3,449 
Total liabilities$19,739 $7,595 $27,334 $17,963 $10,284 $28,247 
Noncontrolling interests$344 $2 $346 $279 $— $279 
Years Ended December 31,
202520242023
Summarized Operating Data
Automotive China JVs' net sales$24,450 $21,740 $31,435 
Others' net sales4,764 5,545 4,311 
Total net sales$29,214 $27,285 $35,746 
Automotive China JVs' net income (loss)$(685)$(4,466)$1,122 
Others' net income989 1,315 771 
Total net income (loss)$304 $(3,151)$1,893 

Transactions with Nonconsolidated Affiliates Our nonconsolidated affiliates are involved in various aspects of the development, production, and marketing of trucks, crossovers, cars, and automobile parts. We enter into transactions with certain nonconsolidated affiliates to purchase and sell component parts and vehicles. The following tables summarize transactions with and balances related to our nonconsolidated affiliates:
Years Ended December 31,
202520242023
Automotive sales and revenue$92 $90 $209 
Automotive purchases, net$5,853 $4,875 $2,766 
Dividends received$2,144 $418 $1,018 
Operating cash flows$(2,881)$(4,422)$(941)
Investing cash flows$(2,011)$(1,045)$(739)
December 31, 2025December 31, 2024
Accounts, notes, and dividends receivable, net$2,523 $1,056 
Accounts payable, accrued and other liabilities$1,698 $892 
Undistributed earnings$1,789 $2,781 
Undistributed losses$(3,243)$(2,775)