Print 55 comment(s) - last by mindless1.. on Feb 6 at 9:34 AM

Volt will be much cheaper in the next generation  (Source: GM)
Price cut will come from smaller battery packs and economy of scale

The Chevrolet Volt is an interesting green vehicle with its ability to drive on electric power alone for short distances coupled with the ability to drive for much longer distances using a gasoline engine. The big drawback to the Volt today is the price of the vehicle.

The MSRP of the Volt is around $41,000, which is keeping some of the people that might be interested in the vehicle from biting. GM has announced that it hopes to reduce the price of the Volt by $7,500 for the next generation.

If GM were able to cut the MSRP by $7,500, when a buyer figures the federal tax rebate into the price the Volt would sell for under $30,000 making it much more appealing to most car buyers. The discount would also put the Volt more in line with the MSRP of the Nissan Leaf EV.

GM's Robert Peterson said, "As with any new technology - from plasma TVs to cell phones - the production costs lower with learnings gained with each generation. We expect to see similar cost savings, either through the development or improvement of technologies, or reduced production costs."

The discount could be achieved by taking advantage of greater economies of scale and by using a smaller battery pack that would presumably offer the same range as the battery pack in the Volt today. 

Edmunds reports that GM sold 321 Volts in January and 326 in December while the Leaf sold 87 units last month. GM plans to build 25,000 Volts this year and up to 50,000 in 2012.

The first Volt demo cars showed up at dealers this week.

Comments     Threshold

This article is over a month old, voting and posting comments is disabled

RE: It will go back up
By TSS on 2/4/2011 10:31:05 AM , Rating: 2
Just wait till the dollar loses it's status as reserve world currency. Gas will go from $2,80 to $6,00+ overnight, because that's what the rest of the world has to pay for it.

Don't think that can happen? It already happened to the UK and they where the reserve currency for more then twice as long as you guys.

In the past i would've said go with the gas tax since that atleast would give a shot at reducing the deficit. But considering you've gone past $14 trillion, and obama has singed a tax CUT into law, while bernake is saying he's ready to pump even more money into the economy... well.... I'd buy a big tank and all the cheap gas i could get if i where you guys.

Honestly in the future either spending has to be cut or taxes have to be raised, and probably more then both to get you out of this mess and i'd fully expect americans to protest either measure.

RE: It will go back up
By 91TTZ on 2/4/2011 12:59:37 PM , Rating: 2
No, the countries that are paying $6 a gallon on gas are paying that much because they tax the hell out of it. That's what's making their cost so much more than ours.

RE: It will go back up
By FITCamaro on 2/4/2011 3:18:09 PM , Rating: 2
He did not sign a tax cut into law. He signed into law an extension of the current tax rates.

And most Americans ARE calling for cutting spending. Most just don't realize what it means. Even slashing the military to $0 isn't going to do sh*t though. Libs will spend the money on something else. Same as they always do when they find a new pot of money to spend on things.

The federal government needs to drastically reduce in size and scope. Federal government entitlements need to end and the responsibility needs to return to the states. Then the states can decide how much they want to spend (and thus how much to raise their taxes) on those kinds of things. In reality we should pay 6-7% to the federal government and the rest to the states depending on what state programs the state you live in has. Even as it is, the programs are supposedly state run, but we add a huge cost of sending the money to the federal government to waste 25-30% on bureaucracy before giving it back to the states.

“So far we have not seen a single Android device that does not infringe on our patents." -- Microsoft General Counsel Brad Smith
Related Articles

Copyright 2016 DailyTech LLC. - RSS Feed | Advertise | About Us | Ethics | FAQ | Terms, Conditions & Privacy Information | Kristopher Kubicki