GM Could Lose $9K on Each Chevy Bolt Sold
Bloomberg reports General Motors could lose as much as $9,000 for each Chevrolet Bolt that leaves the dealership lot. Strict government regulations, started in the state of California and adopted by nine other states including New York and New Jersey, make it mandatory to sell zero-emissions vehicles (ZEVs) for the right to sell other vehicles in those states.
These rules are forcing automakers to pony up for ZEVs, even if it is at a loss. Fiat Chrysler CEO Sergio Marchionne famously asked people not to buy the Fiat 500e because the brand lost about $14,000 on each one sold.
As of right now, the laws mandate that by 2025, ZEVs will make up 15.4 percent of the market. Looking further ahead to 2030, ZEVs will have to comprise roughly 40 percent of all car sales according to California Air Resources Board projections.
A person familiar with the matter told Bloomberg the Bolt’s anticipated per-sale loss of roughly $8,000 to $9,000 is an estimate based on the sticker price of $37,500. It will however, help Chevy bolster its ZEV credits, especially if the Bolt manages to take sales from other vehicles in the market.
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Jason Siu began his career in automotive journalism in 2003 with Modified Magazine, a property previously held by VerticalScope. As the West Coast Editor, he played a pivotal role while also extending his expertise to Modified Luxury & Exotics and Modified Mustangs. Beyond his editorial work, Jason authored two notable Cartech books. His tenure at AutoGuide.com saw him immersed in the daily news cycle, yet his passion for hands-on evaluation led him to focus on testing and product reviews, offering well-rounded recommendations to AutoGuide readers. Currently, as the Content Director for VerticalScope, Jason spearheads the content strategy for an array of online publications, a role that has him at the helm of ensuring quality and consistency across the board.
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