Hummer EV "Edition 1" Enters Production, Priced At $113,000

(RTTNews) - The much anticipated GMC Hummer EV, the first electric vehicle by General Motors (GM) is beginning production in the company's Factory Zero assembly plant, GM President Mark Reuss told CNBC.

The first production model was auctioned off in March for $2.5 million, which is going to be donated to the Tunnel to Towers foundation for the first responder in 9/11, Stephen Gerard Siller.

Reuss also said that the company will be manufacturing 1,200 "Edition 1" Hummer EVs at first which will be sold for $113,000. The company will then focus on lowered-priced versions of the truck. He added that 17 of the "Edition 1" series are ready to be delivered to the customers. GM had announced earlier that Hummer EV bookings are already full till 2022.

Hummer EV also uses GM's own Ultium platform that builds both motors and batteries. The in-house products are going to be pivotal for the lineup of EVs that GM will produce in the coming years.

GM, much like many other American car manufacturers has decided to move away from combustion engines completely in the coming decades. The car maker is investing around $30 billion to build its EV portfolio. Reuss also confirmed that it will be delivering electric delivery trucks to FedEx.

After almost a decade of monopoly, Tesla, Inc. (TSLA) is facing strict competition in the EV industry as major car companies continue to add EVs to their product brochures while new competitors also enter the market. Amazon-powered Rivian Motors (RIVN) has already shown off its R1T pick-up truck while Ford Motors (F) has also announced an electric variant of its F-150.