Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

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Thread: Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

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    GMI Canada Editor Premium Member ne_one's Avatar
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    Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

    Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up
    Automotive News
    July 27, 2011
    by David Welch

    General Motors Co., trailing Nissan Motor Co. in electric-car sales, plans to boost output of its Chevrolet Volt to 5,000 a month as the automaker seeks to seize the lead and test consumers' hunger for plug-in vehicles.

    Nissan is winning this year, selling 3,875 units of the Leaf in the U.S. to GM's 2,745 Volt sales through June.

    While Nissan accelerated production faster than GM, the Detroit automaker will outstrip its Japanese rival and make 5,000 units of the Volt a month as soon as January, said Tony Posawatz, the director of the vehicle line.

    "This is very much about supply constraints as opposed to a sales race," Rebecca Lindland, an analyst with IHS Automotive, a research firm based in Lexington, Mass. "Next year will really show true demand for these kinds of cars and which one wins."

    GM will quickly expand output as its pushes toward a goal of selling 10,000 Volts in the U.S. this year, Posawatz said.

    GM plans to assemble 60,000 next year at its Detroit-Hamtramck plant, with 45,000 of them earmarked for U.S. buyers. "It's fair to say GM underestimated demand for the Volt," he said. "By January, the capacity we need will be online."

    Full article at link.

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    Re: Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

    Seems like GM always underestimates demand of it's new vehicles!
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    Re: Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

    Quote Originally Posted by Ambalanche View Post
    Seems like GM always underestimates demand of it's new vehicles!
    I'd rather see underestimating and no discounts instead of over estimating and wondering where the customers will come from.
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    Re: Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

    Quote Originally Posted by PocoToro View Post
    I'd rather see underestimating and no discounts instead of over estimating and wondering where the customers will come from.
    Exactly, underestimating demand is a good problem to have. GM didn't really underestimate though with the Volt - everyone knew there would be more demand then capacity at the beginning.

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    Re: Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

    It appears it was more down to simply the ability to build more cars. If they could have, there's no doubt they would have.
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    Re: Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

    The low supply was delibarate due to the complexity of this new technology. Its a significant step foward in automotive technology.

    They were on a low build program to make sure they have everything right.

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    Re: Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

    If I can't have a Corvette then I want a Volt, The coolest car on this Earth!

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    Re: Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

    GM have handled Volt very well. The carefully carefully slow ramp up has made sure the early production models were well built and have had nothing but good press.

    Looking forward to the increased production showing up in the sales figures. The Leaf will be left blowing in the wind.

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    Re: Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

    I say ONLY RAMP UP production when the suppliers are ready NOT to "BEAT' Nissan or ANY other Electric car

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    Re: Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

    No real new news here. GM announced this was the plan over a year ago. I guess the only news here is things are going as planned.

    Now in another year there are rumors that GM might get production to 8K - 9K units per month. That would be new news.

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    Re: Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

    Amazing.

    I think the Volt is awesome, but $40,000 (give or take) is still a fat chunk of change. I figured demand would be incredible at first but then might diminish over time. I'm very happy to be completely wrong.

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    Re: Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

    Quote Originally Posted by PocoToro View Post
    I'd rather see underestimating and no discounts instead of over estimating and wondering where the customers will come from.
    Agreed! We need only look at the bad experience of the Saturn Astra as an example of what not to do. Dealers couldn't give the Astras away.

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    Re: Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

    Sorry, but I thought the Astra was lame. For the price they were asking, it wasn't that well appointed. Price was too high for what you got; especially at a Saturn dealership. Their cheapest offering went from the sub $14k Ion to a $18k plus Astra. Granted, the Astra seemed to be a better built car, but was not worth the extra $ in my book. Therefore, they sat and filled up the lot.
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    Re: Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

    Quote Originally Posted by PocoToro View Post
    I'd rather see underestimating and no discounts instead of over estimating and wondering where the customers will come from.
    +100. It's better that way.

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    Re: Volt Supply Poised To Surge As Race With Nissan Leaf Heats Up

    Quote Originally Posted by mbukukanyau View Post
    The low supply was delibarate due to the complexity of this new technology. Its a significant step foward in automotive technology.

    They were on a low build program to make sure they have everything right.
    Exactly, they wanted to control risks in case Volts started to burn on the side of the road.. very prudent of them.

    Plus they dont make much or any profit (except HUGE marketing gains) so why rush?.. increasing production is expensive and has little monetary gain until they can increase profit on the Volt.. classic chicken and egg problem. They have to bring more of the subsystems production in-house if they want to make a real go at it.. just like Ford subcontracting the Focus BEV to Magna, no profit there either.

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