General Motors expects to be the first global automaker to turn electrified vehicles – including hybrids, plug-ins, and battery-electric vehicles (BEVs) – into a profitable venture.
Speaking to reporters yesterday, GM Executive VP of Global Product Development Mark Reuss said the company is ahead of the competition with regard to reducing the costs associated with electrified vehicles and ultimately being able to sell them at a profit. One of GM’s top priorities to help it achieve that goal, he says, is reducing vehicle mass.
“That’s the mantra inside product development,” Reuss said. “That’s what all our engineers are all working toward.”
General Motors has embraced a rather aggressive electrification strategy that will see the introduction of ten new electrified vehicles in China by 2020. Whether or not each of those models is offered in the US, GM’s increased focus in this area should help drive down the production cost of battery packs.
Chevrolet’s all-new Bolt EV starts at $37,495 in the United States, before government incentives. That puts it in budget luxury car territory in terms of price, with few premium features to show for it.
“We know the customers would like to drive electric but are unwilling to pay,” Mr. Reuss told reporters. “And that’s why we’re going to be the first company to [build] electric vehicles that people can afford at a profit.”