Charles Johnson is correct. The Volt is a niche car that is not intended to make any money for the company. Chevy, via Business Week, estimated the Volt’s sales to be about 10,000 per year about a month ago:
Analysts doubt the changes will impact sales much. O’Dell says that thanks to the advanced technology under hood, GM won’t have trouble selling the car in the first few years of its release. “People are so excited by the idea,” notes O’Dell. “It frankly wouldn’t matter if they put it in a refrigerator box.” Wes Brown, a partner at Los Angeles marketing firm Iceology, agrees: “They’ll sell every one they make.” Admittedly, the company estimates it will initially sell about 10,000 Volts annually. That won’t be enough to save GM single-handedly, but executives hope the momentum and renewed goodwill generated by a successful design could put the company on that very road.
But now that they’re begging for money from Congress with green strings attached, I suspect they might be offering a slightly more optimistic forecast — for the time being, at least.
And FWIW, we made fun of GM for calling the bottom of the financial crisis at the end of October.