GM plans to build 'tens of thousands' of Chevy Volt plug-ins, official says

[xcel]

Late 2010, Check. PHEV-40, Check. $40,000 ... Whoops

David Shepardson - Detroit News - Jan 31, 2008

If adding a $5,000 16 kWh Li-Ion pack and a $1,000 Electric motor to a compact Chevrolet Volt brings the price anywhere near $40,000, GM can build all they want and they will sit on the lots -- Ed.

WASHINGTON -- General Motors Corp. plans to build "tens of thousands" Chevrolet Volt plug-in hybrid electric cars by 2011, a senior executive said today.

"We're not doing the Volt to sell 500 or 1,000 (vehicles)," Jonathan Lauckner, GM's vice president for global program management, said today at forum sponsored by the Center for American Progress here. "We're talking about tens of thousands and more than that within the year."

Lauckner reiterated GM plans to start production of the concept electric vehicle by the end of 2010.

The Volt will be able to meet the commuting needs of 78 percent of drivers, who travel less than 40 miles a day, he said, adding that. GM plans to sell the car "around the world."

A version of an energy bill passed by the House would have given consumers a $3,000 tax break to buy a plug-in hybrid. Lauckner said federal tax incentives would be "very helpful." … [Read More]

[Earthling]

"He said, 'Maybe it's closer to 40 (thousand) than 30," Lauckner said an interview after the forum. "We're still fairly early in the program. We haven't sourced the battery yet."

And the Prius was criticized for it's "hybrid premium." What's the payback period on a $40K Volt, Luddite Lutz?

Harry

[Right Lane Cruiser]

WHA-A-A-AT?!? $40K?!?!? They should be selling it at no more than about $27K if I don't miss my guess -- and that would be raking in ridiculous profits when considering the cost of materials!

If GM puts a price tag like that on the car, they can't seriously think they are going to sell anywhere near "tens of thousands" of these things in any kind of reasonable time frame. I don't really want a plug-in Prius. It is an overly complicated solution to a very basic problem -- on that is solved elegantly and robustly by the series hybrid platform the Volt is supposed to be.

I can't believe I just read this.

[Euroford]

$40k is a bit pricy.. I wonder if they will lease them out? Hmm, brings back memories of GM and electric cars... Did someone say EV-1?

[xcel]

Hi All:

___I know GM is shooting for $250 to $300/kWh so there is $4 - $5K for the 16kWh pack. A full capacity electric motor including the Busses and controllers cannot cost over $1K OEM either. Inverter and smart charger? Let us give GM the benefit of the doubt with a ton of leeway and say another $1K. That comes out to be a maximum of $7K let alone the loss of a 4 to 6 speed transmission for the much smaller 1.0L ICE. Cobalt’s can be had for under $13K. Add all the bell’s and whistles and you have a $22K PHEV with some premium for R&D and startup costs. Where the hell is this $40K price tag non-sense coming from? Does GM want to give away their market to Toyota with its $1,000 addition to the Prius-II as a PHEV-6 solution that works today and a PHEV-10 solution tomorrow for the same

___Believe it or not, I smell a trial balloon here

___Good Luck

___Wayne

[Right Lane Cruiser]

Thanks for more numbers, Wayne. That helps validate my gut feeling that $27K is about what it should be the top end limit on price. The components don't justify such a high cost! Electric cars are dang simple for crying out loud!!

Hrumph.

[Chuck]

At 40K, why don't the make it a Cadilliac Electra instead of a Chevy Volt?

[2TonJellyBean]

I wouldn't take too much stock in early pricing estimates.

If you have everyone thinking $40K and then it gets released at 35K, people will like that much more than having their minds set on a 30K vehicle that ends up being priced at 35K.

[Right Lane Cruiser]

It isn't worth $35K either. I was ready to swallow $30K because it would (as of this forecast anyway) be the only thing on the road with its capabilities. That is over twice what I have ever paid for a car... Anything over that and the already extremely difficult to justify price is now just plain ridiculous.

I'm sorry -- this is really frustrating to me. I want to see them succeed and the Volt has the platform I've been waiting for... but this looks too much like more down the tubes work.

[HappilyUnstable]

I hate to say it, but I think GM is trying to kill off the Hybrid technology. The hybrid trucks are only available on the top end Silverado model, then it’s an 8k dollar price increase over that for a 3mpg gain.

How many people buy the top end truck to begin with? How many of that number are going to spring another 8k dollars for 3mpg? I’m guessing most of the trucks will languish in the dealer lots, at which point GM can call the “Hybrid thing” a passing phase and claim their customers weren’t really interested in the technology in the first place. It would be an easy out to quit building Hybrids.

Now GM is going to price the Volt at 40k dollars? Unless GM is hoping/planning inflation pushes all vehicle prices into the stratosphere, I think they’re missing the target audience by a wide margin. Kill off the electric car again, this time with price?

My Prius was just over 20k after haggling, this car is going to be 100% more than that, with GM’s build quality issues? I’m pulling for the American car companies, even though many of their vehicles don’t qualify as domestic anymore, but they’re going to have to change their game plan more than this to win me over.