As per recent reports, it has been revealed that General Motors Co. will temporarily stop the production of its battery run car, Chevrolet Volts, from March 19 to April 23. The main reason for halting the production is slow sales in US.
Volts car had good start, but gradually sales went down and it was not able to meet yearly target of the company which was 45,000 deliveries in the U. S. Till now, 1,023 models have been sold, which is below the expected number, said Chief Executive Officer Dan Ackerson.
One of the factors which brought a decline to the number of sales is the proposal of the Obama administration which wants to car companies to manufacture a vehicle, which uses alternative energy rather than battery power.
GM had two options in hand. One was to reduce the prices of Volts and second was to stall the sale of the car. It was found that GM did not want to reduce the price of the high tech car so they decided to stop the manufacturing of the car.
Mark Reuss, who is GM's North American chief, was of the view that they have been working to improve the sales of Volts in us. Stalling the manufacturing is temporary and they will surely return with a bang. They are also going to launch a nationwide campaign, which will be aimed at putting positive features of the car across peoples' mind.
On using battery energy, Reuss said that it is one such technology, which is going to stay here and every single company wants to copy it. They are just making sure that their supply gets equal to demand.
"The price premium on the Volt just doesn't make economic sense for the average consumer when there are so many fuel-efficient gasoline-powered cars available, typically for thousands of dollars less", said Reuss.
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