Tuesday, August 6, 2013

GM Gives Chevrolet Volt a Jolt with Price Cut

The Volt is getting a jolt -- at least when it comes to price.


The slow selling newfangled plug-in car, which is supposed to the star of General Motors' portfolio, is going to have $5,000 knocked off its list price. The 2014 Volt will now cost $34,995, including shipping, 12.5% less than last year's model.

With a full $7,500 federal tax credit, the price is cut to $27,495. Some states have tax credits as well.

GM's move follows a similar price reduction for Nissan's all-electric Leaf and Ford's Focus Electric. Unlike those other two, the Volt has a backup gas engine that should give it more appeal to motorists who want to stay green without having the inconvience of finding ways to plug in whereever they go. The Volt can go on electric power alone for 38 miles, enough, GM says, for most people to get to work and maybe back, too. GM says owners average 900 miles between fill ups.

The price cut could also help clear the way for GM's next car based on the same technology, the Cadillac ELR. That luxury plug-in's pricing is yet to be announced.

Volt sales fell 3.3% last month, although they are up 9.2% for the first seven months of the year, Autodata reports.

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