GM won't use Michigan plant to manufacture Volt electric vehicle engines

Posted Jan 29th 2009 2:45PM by Brian White
Filed under: Bad News, Products and Services, General Motors (GM)

General Motors Corp. (NYSE: GM) has consistently said the upcoming Chevy Volt all-electric vehicle was part of a gateway to the future for the company. But it did not anticipate having to borrow tens of billions from the U.S. government in the interim before it could get that product out the door at a reasonable price with decent marketing. Add to that the complete slowdown of customers buy new cars and trucks and GM is a hurtin'.

So much so that the automaker has shut down plans to make a new generation of four-cylinder engines at a plant in Flint, Mich., and instead will import what it needs to build the first generation of the Chevy Volt instead. In addition, the plant being shut down was to build smaller engines for the Chevy Cruze -- another small car GM is planning to build.

Although the Volt is an electric vehicle, an actual engine will be used to complement the electric motor to extend the driving range of the car. GM CEO Rick Wagoner did say that engine production for the Volt would be transferred back to the Flint plant as soon as it was possible, but GM has to nitpick every single way to save money in its current condition, This is a part of how the automaker will work its plan.

Tags: Chevy Volt, ChevyVolt, General Motor, General Motors, GeneralMotor, GeneralMotors, GM, inthenews, Volt electric vehicle, VoltElectricVehicle

Get the latest on cars and trucks
from GM and all brands at AOL Autos.

Reader Comments (Page 1 of 1)

1-29-2009 @ 4:29PM

BHarrison said...

Let's see . . . GM is getting TARP monies; but decides to import the engines. Hmmmm . . . once they got the money, they opted to use foreign outsourcers, right?

So, how does THAT promote "Made in the USA"?

GM management are liars and hypocrites. Congress should take actions on this.

Yeah when we mix subsidizing private businesses with taxpayer monies, the private industries have to give up some of their capitalistic freedoms of choice. It is a crazy situation.

1-29-2009 @ 5:39PM

jmcavoy said...

The Currnt administration contends 1) Jobs 2) Tax cuts 3) Democrats with this in mnd; it makes sense that this event helps bring to a boil our current state. The Congress has already provided a $7500.00 tax break for the purchase of a new volt late last year. It follows that tax breaks ie. for example no sales tax on Domestic products will follow in an effort to "get the people working"