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Insight from Edmunds.com Chief Economist Dr. Lacey Plache:
“The fact that GM is now facing an oversupply of Volts suggests that consumer demand is just not that strong for these vehicles. The price premium on the Volt just doesn’t make economic sense for the average consumer when there are so many fuel-efficient gasoline-powered cars available, typically for thousands of dollars less.”
Last week Dr. Plache posed the very question at stake: Do consumers really want electric cars? Her full commentary can be found at http://www.edmunds.com/industry-center/commentary/do-consumers-real....
Edmunds.com Senior Analyst Michelle Krebs commented:
“The Chevrolet Volt has had a very rocky go of it, from the very beginning of the launch when confusion emerged about what it was -- an EV or a hybrid -- to the latest episode with Volts catching fire after NHTSA testing. Sales have been extremely disappointing along the way. As a result, the plant has been started and stopped a number of times.
“This period of high gas prices should have given sales of the Volt and other hybrids and electric cars a lift. Instead, there's a wide selection of 30 mpg and even 40 mpg cars that don't carry the hefty premium of vehicles like the Volt so the Volt, Nissan Leaf and others are up against stiff competition.”
Krebs also has a new piece on Edmunds’ Industry Analysis page that looks at whether the rise in gas prices will have an impact on driving consumers to EVs and Hybrids. The full story can be found at http://www.edmunds.com/industry-center/analysis/will-higher-gas-pri....