China second in line after the U.S. for the Chevy Volt
The nation with perhaps the worst air pollution problem in the world may soon get some help from Detroit. Just as China was the second country after the U.S. on the world tour of the Chevy Volt concept last year, it will likely be the second place to the see the production Volt. Speaking at the Beijing Motor Show, GM Chairman Rick Wagoner told reporters that after the production Volt launches in the U.S., China will be the next country to get the new extended range EV. Right now the company is totally focused on getting the Volt to market here by the end of 2010. According to Wagoner it's going "right down to the wire" to meet the target. Battery packs are being tested and prototypes will shortly (if not already) be running with the 400lb packs from Continental/A123 Systems and LG Chem/CPI. Although GM will need to make a decision on a production source for the battery pack within the next few months, it may turn out that GM will continue to work with both companies. The supplier that doesn't get a production contract may remain on a development contract to ensure that progress continues to move forward on developing the batteries. A production supplier will need a contract soon in order to make the investment in production facilities in time for launch.
[Source: Reuters]
Reader Comments (Page 1 of 1)
josh 2:00PM (4/21/2008)
If both companies can make a qualifying pack and there were concerns about meeting production quantities, I don't see why both companies can't get the contract.
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GoodCheer 1:31PM (4/21/2008)
I'm particularly interested in this sentence:
"A production supplier will need a contract soon in order to make the investment in production facilities in time for launch."
To put out tens of thousands of packs a year (hundreds a day) will require a VERY significant investment. A building, dedicated machinery, probably much of which will have to be custom built or even designed from scratch for the task. And once everything is in place, working the bugs out of new machines and new processes. On top of that all the production methods, training of personnel, certification (ISO? UL?). Not to mention the battery supplier getting its supply chain set up to provide 1000 times the quantities of everything than they used before.
With only 2.5 years to get all this in place whoever wins the production contract will have to really be scrambling. Unless all this stuff is further along than we know about I'm once again swinging towards the skeptical side ... at least for a 2010 launch.
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BrazilNut 3:16PM (4/21/2008)
You'd have to be mentally retarded to go with sole source for such a critical compnent.
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