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

Thursday, January 31, 2008

David Shepardson / The Detroit News

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."

The incentives prompt consumers to adopt new technology early on, Lauckner said. The tax breaks, however, were dropped from the final version of the energy bill over an objection by the oil industry to rolling back some of their tax breaks.

GM also confirmed remarks made byVice Chairman Bob Lutz in an interview earlier this week that the Volt was likely to cost more than the earlier target of $30,000.

"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."

Lauckner also said GM had tested two battery packs from LG Chem and had taken possession of a test battery pack from A123, one of its suppliers, at its testing facility in Germany earlier today.

"We've got a ways to go," Lauckner said. The next step to put the batteries in "mule cars" for testing.

You can reach David Shepardson at (202) 662 - 8735 or dshepardson@detnews.com.