US: Volt’s lower price will be enough to lift sales? image

Chevrolet has recently announced the US retail price for its second generation plug-in hybrid Volt, toted to be cheaper than the outgoing model – though experts still wonder if that would be enough to lift the disappointing sales.

The 2016 Volt, in it is second generation, will carry a MSRP of $33,995 and is also up fro grabs with a federal tax subsidy of $7,500 – the US brand says the new generation is actually $1,200 cheaper than the first generation 2015 Volt. While that’s overall great news for the customers, the underlying problem lies in the unsold inventory of the latter model, with dealers having according to reports inventories as high as six months worth of supply before March ended. According to car-buying information portals, with dealer incentives and the federal tax credit, the 2015 Volt can be had at around $25,933. That’s because the sales of the model – together with other hybrids and plug-in hybrids – have gone down massively in the US because of continuously cheap gasoline that has prompted customers to choose larger models, such as pickup trucks and sport utility vehicles.

Naturally, buyers might be persuaded to wait until the 2016 Volt will reach dealerships later on this year, as it has better performance and more electric-only range than the outgoing version. It has 50 miles of electric-only range instead of around 37 and the new 1.5-liter Ecotec 4-cylinder range extender engine has also delivered increased fuel economy figures. The new generation will still be assembled at the same Detroit-Hamtramck factory that has handled the plug-in hybrid’s production since it was introduced back at the end of 2010.