Lithium Drive: GM thinking of doubling Chevy Volt production to 120,000 units in 2012 tnr.v, czx.v, lmr.v, rm.v, alk.ax, sqm, fmc, roc, lit, li.v, wlc.v, clq.v, res.v, ree, avl.to, nsany, f, gm, rno.pa, dai, byddf, hev, aone, vlnc

   We have first surprises to the upside in demand for Electric Cars and we will have more in the developed world, when countries like UK started to discuss behind the closed doors rationing policies for the energy markets in the future. Developing world will be its own story in this sense as well:

"If you had to separate the speakers at this year's Lithium Supply and Markets conference into two camps, you could do it like this: There are those who believe that the electrification of the automobile will proceed at a steady, orderly pace, and that over the next 10 or 15 years the world's lithium producers together to mine and process an additional 7 or so percent each year. Then there are those who believe anything could happen–who think this kind of orderly extrapolation is blindly conservative. And generally, these optimists–who believe that there's no telling how quickly electrically-powered vehicles of all kinds will spread, but that it'll probably be far more dramatic than most forecasters expect–happen to do business in either China or India."

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GM thinking of doubling Chevy Volt production to 120,000 units in 2012

Was General Motors caught by surprise with the success of the Chevrolet Volt or is this a case of lowered expectations? According to two people "familiar with the matter" who spoke to Bloomberg, the number of Volts that GM wants to build in 2012 is now, wait for it, 120,000 units. Just six weeks ago, the number we heard for 2012 production was 45,000, up from a previous prediction of 30,000 units. Also, Bloomberg writes, GM might try to make 25,000 Volts this year instead of the 10,000 we previously heard would be produced in 2011.

In December, GM North America President Mark Reuss said that there is a limited number of battery cells that vendor LG Chem can produce for GM. Not sure how (or if) this problem has been solved, but Bloomberg writes that GM is trying to get all the Volt's suppliers to increase their output so GM can make enough Volts to meet demand. One analyst believes that GM will be able to sell every Volt it makes as long as the $7,500 federal tax credit is available. The first 200,000 Volts GM sells will qualify for the credit, so it might run out in 2013 if these new production numbers pan out."

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