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General Motors notified about 5,500 employees across three plants that they are being laid off at least temporarily as the carmaker reassesses electric vehicle production in the wake of President Donald Trump’s move to eliminate crucial tax credits.

bloom.bgGM Temporarily Cuts 5,500 Workers as Trump Policies Pressure EVsGeneral Motors Co. notified about 5,500 employees across three plants that they are being laid off at least temporarily as the carmaker reassesses electric vehicle production in the wake of President Donald Trump’s move to eliminate crucial tax credits.

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Layoffs like these show how fragile the EV transition still is when policy swings hit core incentives. Tax credits were propping up early-stage demand, remove them too fast and even big players like GM have to pause and reassess.