The accolades for its Chevy Volt, those accolades don’t come cheap. The Chevy Volt reportedly cost a whooping $40,000 each to build, not including development costs.
That price makes the $41,000 MSRP seem downright reasonable. GM makes just $1,000 on each Volt sold. That isn’t a lot, considering that GM can make upwards of $15,000 on the sale of an upscale Suburban such as the Cadillac Escalade or GMC Denali. On the same token, GM also lost around $1,000 on every Chevy Cavaleir they sold, and they sold a lot of those. GM will make about $1,000 on every Volt sold. At that rate, it will take GM a long, long time to recoup the $1 billion some-odd dollars they spent developing the Volt.
These revelations come from Steve Rattner, who in his book “Overhaul” walks us through the auto bailouts that dominated last year. While I am surprised that GM, one of the world’s largest automakers, couldn’t build the Volt for cheaper, I guess it kind of justifies the Volt’s high cost. What say you though, in light of these revelations, is it really still worth the $41,000?
A writer and gearhead who loves all things automotive, from hybrids to HEMIs, Chris can be found wrenching or writing- or else, he's running, because he's one of those crazy people who gets enjoyment from running insane distances.