3:01pm

Thu March 8, 2012
Business

GM Suspends Production Of Hybrid Volt

General Motors has decided to put its electric hybrid car the Volt on hiatus for 5 weeks so consumer demand can catch up with supply.

The CEO of the Colorado Automobile Dealers Association, Tim Jackson, says he has a hunch as to why consumers are staying away from Chevy’s flagship hybrid.

“The price point may be a little bit higher than a traditional hybrid or plug in hybrid has been. So that’s been the issue that GM and the Chevy Volt need to get their arms around from a price point standpoint.”

Jackson says Volt sales have also been stunted because many Coloradans interested in the hybrid, end up leaving a dealership with a high fuel economy gas vehicle instead.

"[Dealers] attract the consumer to the show room with the Chevy Volt, but when consumers put the pencil to the paper they often find the Chevy Cruze is a better option for them based on the price going in."

The hybrid market makes up only 3 percent of total national car sales. But with gasoline prices on the rise, Jackson says the demand for hybrids like the Volt could significantly increase in the upcoming months.