Is the ultimate SUV coming to Oz? GM luxury brand open to petrol power for Australia if electric vehicle downturn continues, which opens the door to the Cadillac Escalade to battle Range Rover

General Motors Australia has conceded for the first time that it would consider introducing petrol-powered vehicles, most likely the Escalade SUV, if electric vehicle sales stay flat.

Up until this point there was never a hint that the brand would consider deviating from its electric plans. And, to be clear, Jess Bala, Managing Director of GM Australia and New Zealand, only admitted that changing to petrol-powered options would be a last resort if the electric-only plans don’t work.

“I mean, we'd need to look internally,” Bala told CarsGuide. “We don't produce any right-hand drive Cadillacs right now that are ICE variants. We're only doing them as EVs. 

“I mean if we wanted to do Escalade it would end up being something that had to be converted at [conversion partner] Promoso. And back to the earlier point, from a price point standpoint it would be on the much higher end. And we just think from an opportunity within our market and our demographic, our focus should stay where it is right now on Lyriq, Optiq and Vistiq.”

Electric vehicle sales have slowed, in large part due to the sudden decline in Tesla sales, so Bala is confident that the luxury end of the market, where Cadillac is competing, remains a viable option for the famous American brand.

Asked if she was concerned about the EV market slowing, Bala was categorical.

“ No, not concerned at all,” she said. “I think the luxury EV space and the mainstream EV space are quite different. And different customers as well. No, not concerned because, I mean, I think our Cadillac vehicles are beautiful. They're absolutely stunning. We will continue to bring in what we believe the customer wants. If that pivots, then we'll, we'll have another look, but very much committed to Optiq, Lyriq and Vistiq coming to market.”

Notably, GM Australia has made the decision not to report sales figures for Cadillac through the Federal Chamber of Automotive Industries (FCAI), which suggests the sales targets are modest in this initial launch phase. Not reporting would, effectively keeping how many vehicles it has sold a secret from the industry and general public, will allow Cadillac to grow slowly with less public pressure. 

Bala said the short-term, all-electric future of the brand looks bright, with deliveries of the Lyriq underway and the Lyriq V performance model, as well as the smaller Optiq and larger Vistiq confirmed for launch in 2026.

“ We started deliveries to customers a couple of weeks ago, so have some very happy customers driving around in their first Lyriqs, which is really exciting. And then obviously a couple months back we announced that we'll be extensively broadening that portfolio early next year. We announced Lyriq V at the end of last year and then obviously Optiq and Vistiq as well, which we're really excited about,” Bala said.