Coda Withdraws DOE Loan Request Worth $334 Million

by Derek Kreindler

Published: April 26th, 2012

coda withdraws doe loan request worth 334 million

Coda Automotive withdrew a Department of Energy loan application after two years of waiting. The $334 million loan was supposed to have gone towards establishing an assembly plant in Columbus, Ohio, but for now, production will continue in China.

The plant would have created as many as 2,000 jobs, but the DOE’s stalling means that production will continue overseas. Coda’s Forrest Beanum told Automotive News that

“It became clear to us after the Solyndra debacle that things in Washington as it pertains to this program were becoming quite politicized…Going into an election year, our objective was not to be unnecessarily scrutinized due to politics,” he said. Rather, its goal was to focus on the U.S. launch of its new EV this year, he added.”

Coda final assembly is carried out in California using “glider” chassis assembled in China. Speculating whether Coda would have really added jobs in the Midwest would just be conjecture at this point (Fisker, anyone). It’s encouraging to see Coda looking to add jobs in America, even if, as Ed points out, the car needs some work to be up to American market standards. Maybe their new tie-up with Great Wall will let them build an EV here without government help too.

#America #ChineseCars #Coda #CodaEv #DepartmentOfEnergy #DOE #ElectricVehicles #EV #Jobs #Loans

Derek Kreindler

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7 comments

Blowfish on Apr 26, 2012

Is it the case of " With a face like your , u dont need a Vasectomy" from late great Rodney Dangerfield. building EVs here are becoming as popular as a Pork chops in a Jewish wedding. Uncle Sam doesnt wanna to be burnt repeatedly. No need to look far just look at the Volt's sales. These sounds like pure EVs and dont even have any mileage extender or ICE, generator of any form.

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Cmoibenlepro on Apr 26, 2012

Who'd buy a Chinese-built 40k EV that looks like an old Daewoo ?

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- See 1 previous
- BangForYourBuck on Apr 27, 2012
  
  Damn. This thing looks 12 years old already. It looks like something I'd think about buying. That CAN'T be good.
  
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- 4LiterLexus on Apr 27, 2012
  
  Forget the Daewoo looks for a moment: the value proposition for this car boggles the mind. Total cost of ownership is a huge deal when it comes to hybrids and EVs: why buy something with uncertain resale value and long-term reliability/manufacturer support when a Volt or Leaf exists as an option? Had the DOE granted this loan, it would have become a political albatross.
  
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Robert Schwartz on Apr 26, 2012

"The plant would have created as many as 2,000 jobs" And you believed them.

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- CJinSD on Apr 26, 2012
  
  It's the car factory multiplier, like how justice for GM would have cost us the entire US economy.
  
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Jpolicke on Apr 27, 2012

Unfortunately, we've tapped out the domestic labor force staffing the Fisker factory.

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