Despite Increasing Sales, GM To Idle Chevy Volt Plant For Four Weeks (Updated: For Retooling)
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Workers assembling the Chevrolet Volt and Opel/Vauxhall Ampera at the General Motors Detroit-Hamtramck plant will have some extended downtime, as numerous reports indicate that the facility will be idled from September 17 until Octoboer 15. Roughly 1,500 workers will be affected by the shutdown.
Sales of the Volt have been climbing, but apparently not at a quick enough clip to meet estimates. Optimistic expectations originally had the Volt selling at least 60,000 units this year, but have been decreased to the more realistic range of 30,000-45,000 units. At the end of July, GM has only tallied 10,666 Volt sales.The planned shut down also marks the second time this year that GM suspended Volt and Ampera production, as the plant was previously idled from March 19 until April 16 of this year.
These sudden stoppages for the plant are less likely to take place once D-Ham begins producing the 2014 Chevrolet Impala.
Update: it’s come to our attention that even though the sales numbers are accurate, that’s not the reason for the idling of Detroit-Hamtramck. It turns out that it’s the 2014 Impala’s fault, as the plant requires four weeks of retooling to get it ready to produce the all-new full-size sedan, which looks fantastic both in photos and in person.
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Manoli, please update your article. The reason DHAM is being shut down is not poor sales of Volt, it’s due to an impending fight with CAW in Canada and their impending strike – which will effectively SHUT DOWN ALL IMPALA production.
DHAM is being shut down to retool for Impala. Read GM’s statement on the matter.
I’ve provided a link for you to list the correct information. Here’s the link:
http://insideevs.com/chevrolet-volt-assembly-plant-in-hamtramck-idled-a-month-but-not-why-you-are-thinking/
Many media outlets will grab onto this information and use it to bash Volt. Volt sales are brisk, and projections for August are to top Volt’s highest sales month to date. Volt sales should top it’s previous high in March of over 2,200 sold in one month.
James, for retooling or not, (maybe) 20,000 yearly units of a model that’s not high margin is negligible to say the least.
@Silent Electrician:
As I’ve stated many times – the first gen Prius was a sales dog and each unit sold cost Toyota a bundle. Now look at the ENTIRE LINE of Prii and the “over 3 million sold” McDonald’s sign over their dealerships!
One has to consider a loss leader in nearly every kind of retail business. The Volt’s R&D costs would make them non-profitable for years EVEN IF the price of lithium batteries wasn’t enough to price EVs out of most buyer’s budgets. Chevy’s Volt does things no other car can do – and it’s literally brilliant in it’s theory and execution. Add to this it was concieved and built in America by Americans – and take away some pride while pondering this.
2nd gen Prius ( 2004 ) literally took off in sales ( over 1 million units ) and basically made all other attempts at hybrids look stupid ( enter GM’s 2-mode system designed by three companies and falls flat on it’s face ). It’s in GM’s interest to allow pricing to come down via economies of scale to a point where a Camry, Fusion, Altima or Malibu Hybrid buyer will consider Volt’s huge advantages.
If nobody buys today’s Volt, there will be no Volt of tomorrow. So “halleluliah!” some can afford it, and make it a better seller each month than Corvette. Battery tech moves forward, and if Romney and the Right don’t torpedo incentives for EVs and PHEVs they’ll have a fighting chance to take hold and we’ll see America less dependent upon country’s that hate us for our national security and transportation needs. GM needs to stay the course – Ampera sales are growing overseas and prices will come down.
Increasing Sales? Where NYC and CA? a bunch of flowerchildren? VOLT SUCKS and Hybrids Suck.
Jose, dude what…
@Jose:
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I bought a Volt three months ago and have used eight gallons of gas…. I love this car! The power train will be great for many models… Jeff
Remember when Reagan cut off people with Solar panels on there roof… I remember, lived out west remember everyone having to take the panels down… I can just see Romney putting the ax down on EV’s… Be prepared folks…