GM's Factory Shuffle Could Point to Big Electric Car Plans

Steph Willems
by Steph Willems

Something electric could be brewing at General Motors, and we’re not talking about just the Chevrolet Bolt.

John Rosevear at the Motley Fool has an interesting take on what the future holds for Orion Assembly (the Michigan facility tapped to produce the Bolt this fall), and why GM seems to be keeping other models away from the plant.

Yesterday, we brought you news of the Buick Verano’s impending death, but the manufacturing space the luxury compact would leave behind is also interesting. With the Verano (likely) gone from Orion after 2017, the plant would hold only the Chevrolet Sonic and Bolt.

A small, yet-unnamed Cadillac model was due to be produced at Orion within a few years, until GM kiboshed that plan in April and moved its production to Fairfax Assembly in Kansas City.

“That doesn’t make sense,” Rosevear writes, “unless GM is planning to move something else into the Orion factory.”

While recent developments imply that GM has something special in mind for Orion, there’s no hint from the automaker that any new small car models are on the way, electric or otherwise.

Analysts are predicting between 30,000 and 80,000 Bolts sold in its first year — a wide range, for sure, but far less than the 400,000 Model 3 reservations Tesla has to work through. If the utility-minded Bolt proves a success, and EVs steadily gain market share, GM could diversify its electric offerings to battle a growing number of competitors, including Ford.

It could do that, but only if it had space to build more models on the same architecture. And that’s where Orion’s spare capacity enters the picture again.

Rosevear speculates that a new EV model from GM could be a halo car for Buick, though that seems to be the opposite direction of where the crossover-infatuated brand is heading. Buick’s global chief Duncan Aldred said in the past that he didn’t want low-volume models in the lineup, but viewpoints can change.

Steph Willems
Steph Willems

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  • DAC17 DAC17 on May 10, 2016

    Actually, the logic is two-fold. First, I don't believe that Tesla can do the basic manufacturing any cheaper than the other companies. More important, the others can sell their electric cars at a loss, since they offset that loss with bigger profits from big trucks and sport-utes (which they can sell more of due to the EV mileage offsets under CAFE).

    • HotPotato HotPotato on May 11, 2016

      But Tesla can sell emissions/mileage credits to other automakers, pocketing their share of the cash others make by producing Sublubbers or F-1Shiftys or whatever, no? I recently read a piece that argued Tesla's long-term play isn't to make money from their own cars, but from selling electric chassis, Supercharger network access, batteries, motors, controllers, consulting services etc. to other automakers. Interesting argument given how far behind some of the others are - Ford's efforts have been half-hearted, GM's inconsistent, and FCA's non-existent.

  • 87 Morgan 87 Morgan on May 11, 2016

    I would be delighted to see the Volt drivetrain make its way into more offerings by GM. From the test market I am aware of, my business partner and his 60k mile volt, it works flawlessly.

    • Bball40dtw Bball40dtw on May 11, 2016

      I agree that GM should shove that drivetrain in as many vehicles as possible. They should start with a CUV. Yesterday if possible.

  • Dartdude The bottom line is that in the new America coming the elites don't want you and me to own cars. They are going to make building cars so expensive that the will only be for the very rich and connected. You will eat bugs and ride the bus and live in a 500sq-ft. apartment and like it. HUD wants to quit giving federal for any development for single family homes and don't be surprised that FHA aren't going to give loans for single family homes in the very near future.
  • Ravenuer The rear view of the Eldo coupe makes it look fat!
  • FreedMike This is before Cadillac styling went full scale nutty...and not particularly attractive, in my opinion.
  • JTiberius1701 Middle of April here in NE Ohio. And that can still be shaky. Also on my Fiesta ST, I use Michelin Pilot Sport A/S tires for the winter and Bridgestone Potenza for my summer tires. No issues at all.
  • TCowner We've had a 64.5 Mustang in the family for the past 40 years. It is all original, Rangoon Red coupe with 289 (one of the first instead of the 260), Rally Pac, 4-speed, factory air, every option. Always gets smiles and thumbs ups.
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