General Motors and Ford Expand Rivalry into Defense Contracts and Energy Storage Markets
General Motors (NYSE:GM) and Ford Motor Company (NYSE:F), longtime automotive rivals, are now competing in defense contracting and energy storage. Both companies have entered the U.S. military contract space following a push by the Trump administration to leverage domestic manufacturing capabilities for national security needs. GM is ahead with its Infantry Squad Vehicle program under an Army contract that could exceed $1 billion if fully funded, expecting around $700 million in defense revenue and positive earnings from this segment in 2026. In parallel, both automakers are expanding into the energy storage system (ESS) market. The global ESS sector is projected to grow significantly over the next decade, reaching up to $5.12 trillion by 2034. Ford has committed $2 billion to its new energy-storage business and signed a five-year agreement with EDF Power Solutions for battery capacity access starting in 2028.
Topics: automotive rivalry defense contracts energy storage systems EV manufacturing