Chevy Volt Future Could Be Jeopardized

By: Bill Waters
Published: May 27, 2009
Updated: Mar 16, 2010

Chevy Volt Electric Cars Could Travel 100 Miles On Single Battery Charge

The Chevy Volt electric car is a great concept and so far the prototypes have received attention. The Chevrolet Volt is the first electric vehicle by the General Motors Corporation. However, Volt development could be pushed back if GM files for bankruptcy protection on June 1.

GM has everything at stake, including a fleet of Chevy cars and trucks, and a plan to turn the company around to profitability. However, share holders and consumer interests are slowly declining as the bankruptcy deadline approaches. The government is also expressing concerns and rejected earlier this year for the automaker to receive additional funding.

There is the problem with a failing automaker, but there is also an economic problem which could worsen the US economic recession. GM recently dispatched several fax letters to local Chevy dealerships across the country which confirmed how serious the trouble is. The mood of the letter was a mix of urgency and panic.

GM is relying on its next-generation electric car technology to help recoup its business, but some people in congress didn't like the plan. The automaker is positioning itself to meet future demands for hybrids and electric cars. However, it is running out of time.

Consumer confidence is mixed while there's been a lot of speculations from recent remarks by GM. The bankruptcy option would end the market for GM as we know it today. Consumers have worries over servicing, maintenance, and warranties if the automaker enters into bankruptcy protection.

GM vows to produce an electric car which can travel more than 100 miles on a single battery charge by 2012. While this could boost consumer confidence, a lot could happen from now until that time. The Chevy Volt is the key element for GM's survival, but as time runs out, the electric vehicle might just be a concept which never goes into the production line.

With all the negativity about the automaker, and there's definitely room to point fingers at executives, I still feel there will be a deal made, which will prevent the bankruptcy option. It could happen at the last minute, at the eleventh hour, but it would send many distress signals to an auto industry which is already in panic. There is also talk of further tax breaks for consumers who purchase from GM, but that could be a problem with fair trade as other manufacturers enter the electric hybrid car market.

The deadline is approaching. Only time will tell what GM's fate will be.