GMs Global Voltec Rollout Plan 2010-2012, What About China?

From the beginning GM has said the extended-range electric car platform of the Chevy Volt will be globally produced. At this point GM has publicly revealed the portfolio of 4 brands of electric cars the world will receive.

1. The Chevrolet Volt
This we know will appear in the US in 2010. GM has stated the car will sell in other countries that offer Chevrolet as well, including Europe.

2. Opel Ampera
Continental Europe will get the left-handed Opel Ampera in late 2011

3. Vauxhall Ampera
The UK will get a right-hand drive Vauxhall Ampera sometime in 2012.

4. Holden Volt
New Zealand and Australia will get a right-hand drive Holden Volt in 2012

?.  China

GM spokesperson David Darovitz told GM-Volt.com, “the Volt is a global, mass market vehicle. We intend to bring the Volt to Asia soon after the North American and European launches. “

Posted by: Lyle

GM Chooses LG Chem to Supply Chevy Volt’s Lithium-ion Batteries and Will Build the Packs Themselves

We began hearing rumors as early as this summer that it was the LG/CPI packs that were the only ones in use in all the Volt mules, but an official announcement was not forthcoming at that time, despite it being the initial plan. Later we heard the announcement could come by year end, but the financial catastrophe delayed it

And as I sat in the press conference audience here in Detroit today, just moments ago, GM finally announced the contract had been awarded to LG chem of Korea using special large format lithium ion cells. The cells will be made in Korea, and shipped to the battery pack assembly plant in Michigan. More importantly GM will be building the packs themselves. although Compact Power will stay on as a collaborator.

Rick Wagoner noted how GM set a challenge to build the battery “that couldn’t be built”. He noted GMs confidence in the batteries has grown dramatically. He showed a model of the pack.

He announced that GM will manufacture the battery pack “right here in the United States”. He said the facility will be the first lithium-ion battery plant in the US operated by a major automaker, and will be built in Michigan. He noted the overall Volt investment has been over $1 billion so far.

He said LG Chem’s cells met has “performance, production readiness, durability and exceptional quality.”

He also noted GM is developing core-competence in automotive battery engineering that will improve their competitiveness. GM will actually create a new facility just for the manufacture of battery packs that will be distinct from the Volt assembly plant.

He said GM will also open the largest 31,000 square feet battery development laboratory in the US later this year, also in Michigan, and donate money to the U of M to develop a battery engineer training program.

Full Release:

DETROIT – The Chevrolet Volt, an extended-range electric vehicle that delivers up to 40 miles of gasoline- and emissions-free electric driving, will use battery packs manufactured in the United States by General Motors, Chairman and CEO Rick Wagoner announced at the North American International Auto Show.

GM will establish the first lithium-ion battery pack manufacturing facility operated by a major automaker in the United States to produce the Volt’s battery pack system. It consists of lithium-ion cells that are grouped into modules, along with other key battery components.

The plant will be located in Michigan, subject to negotiations with state and local government authorities. Facility preparation will begin in early 2009, with production tooling to be installed mid-year and output starting in 2010.

“The design, development and production of advanced batteries must be a core competency for GM, and we’ve been rapidly building our capability and resources to support this direction,” Wagoner said. “This is a further demonstration of our commitment to the electrification of the automobile and to the Chevrolet Volt – a commitment that now totals more than $1 billion.”

The Volt’s lithium-ion battery cells will be supplied by LG Chem. Compact Power Inc., a subsidiary of LG Chem based in Troy, Mich., will build battery packs for Volt prototype vehicles until GM’s battery facility is operational. A joint engineering contract with Compact Power and LG Chem also has been signed to further expedite the development of the Volt’s lithium-ion battery technology.

GM has been testing battery packs for the Volt, powered by cells from LG Chem, for the past 16 months. These tests – both on the road and in the lab – have provided invaluable insight into lithium-ion battery technology.

“Our selection of LG Chem was based on performance, production readiness, efficiency, durability and LG Chem’s demonstrated track record of exceptional quality,” Wagoner said. “At GM, we believe the technical strengths of LG Chem, combined with our own engineering and manufacturing expertise, will help position us as a key player in the development of electrically driven vehicles today and in the future.”

GM’s advanced battery strategy

“Our announcements are part of a comprehensive advanced battery strategy for GM that is expanding along two pathways,” Wagoner said. “First, we’re identifying core competencies – such as battery research, development and assembly – and integrating these fundamentals into our product development and manufacturing operations. We believe this will become a competitive advantage for GM, and will be critical to GM’s long-term success. Secondly, we’re building a roster of battery suppliers and academic experts from around the globe, and leveraging their specialized abilities to develop battery chemistries and cell designs, as well as future automotive battery engineers.”

Key elements of GM’s advanced battery strategy include:

* Opening the largest automotive battery lab in the United States (31,000 square feet / 3,251 square meters) that will be capable of testing new energy storage system technologies, as well as lithium-ion and nickel-metal hydride batteries, to accelerate the domestic development of advanced battery technology and lead GM’s network of existing labs in Honeoye Falls, N.Y.; Warren, Mich.; Torrance, Calif.; and Mainz-Kastel, Germany. This new battery lab will be located in Michigan, subject to final negotiations with state and local authorities
* Continuing to ramp-up “in-house” battery-development capability by increasing the staff of GM’s global hybrid, electric vehicle and advanced battery organization to several hundred engineers in 2009, including more than 200 currently dedicated to advanced battery technologies
* Joining with the University of Michigan to create a new automotive advanced battery lab in Ann Arbor, Mich., and a specialized curriculum within U of M’s College of Engineering to develop automotive battery engineers
* Continuing to grow and establish a robust lineup of battery suppliers for cell development and manufacturing and battery integration expertise, with companies such as LG Chem, A123Systems, Hitachi Ltd., Compact Power and Cobasys
* Collaborating with government organizations and industry consortia, such as the U.S. Department of Energy; United States Council for Automotive Research; the United States Advanced Battery Consortium LLC; and Electric Power Research Institute to advance the development of hybrids, plug-ins and electric vehicles, and related electric infrastructure to support those vehicles

Energy alternatives and advanced technologies that reduce dependency on petroleum, improve fuel economy and reduce emissions are the keys to developing sustainable transportation. GM is pursuing several options to best meet the varied needs of customers around the world – from advanced gasoline, diesel and biofuel technology to electrically assisted vehicles such as hybrids, plug-in hybrids and – ultimately -electrically driven extended-range electric vehicles and hydrogen fuel cell vehicles. GM believes that electrically driven vehicles, based on battery and hydrogen fuel cell technology, offer the best long-term solution for providing sustainable personal transportation.

In June 2008, the GM Board of Directors approved the Chevrolet Volt program and Voltec™ propulsion system for production starting in late 2010. For trips of up to 40 miles, the Volt is powered by electricity from the grid and stored in its lithium-ion battery pack. Beyond 40 miles, a small engine-generator creates additional electricity to extend the range of the Volt several hundred additional miles. The development of the Volt’s 16 kWh T-shaped lithium-ion battery, which is roughly 6 feet long (1.8 meters) and weighs nearly 400 pounds (181 kg), is key to the Volt’s success. The production-intent design was revealed in September 2008.

General Motors Corp. (NYSE: GM), the world’s largest automaker, has been the annual global industry sales leader for 77 years. Founded in 1908, GM today employs about 252,000 people around the world. With global headquarters in Detroit, GM manufactures its cars and trucks in 34 countries. In 2007, nearly 9.37 million GM cars and trucks were sold globally under the following brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel, Pontiac, Saab, Saturn, Vauxhall and Wuling. GM’s OnStar subsidiary is the industry leader in vehicle safety, security and information services. More information on GM can be found at www.gm.com.

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Posted by: Lyle

Live Video: Second Day of Automaker Testimony Begins, GM’s Last Chance Plea for Survival

The executives are of course pleading for $34 billion in loans to remain solvent. GM is likely to collapse by the end of this month if they do not get $4 billion immediately.

It appeared progress was made yesterday in the Senate with some signs of support, but whether the loans occur or if a package will be voted on next week remains unknown. The idea of a prepackaged bankruptcy appear to be less favorably viewed than a bridge loan. As well, sources for a loan remain unknown, TARP versus retooling fund.

This morning Mr. Wagoner drove in in a fuel cell Equinox, not in the Volt mule, which presumably went back home to its test track in Detroit. The was a large continent of demonstrators from many auto related industries on Capital Hill as well. Their site is EngineofDemocracy.com

Live Video Feed of House Hearing is Below:

Posted by: Lyle

BREAKING: LG Chem and Compact Power Inc. to Supply Volt Battery Packs

The contract will be announced in November and the terms are still being worked out.

GM and Compact Power are apparently working out the details of the commercial agreement and how to split warranty costs for the batteries.

GM hasn’t confirmed these reports but an LG Chem spokesman in Korea stated “we were informed that the results are due in November, but we didn’t get any official answer from GM yet. We hope for and expect a good result.”

As we have heard before in a subtle way from GM vice-chairman Bob Lutz, GM was only using one supplier’s packs in the mules. Concurrently, we had heard from Compact Power’s CEO that his batteries were being used in the mules. Sources have now confirmed this is the case and that the mules packs are performing flawlessly.

A123/Continental could still potentially supply Volt packs in the next generation.

Source (Reuters)

Posted by: Lyle

Continental Begins World’s First Mass Production of Lithium-ion Automotive Battery Packs Today

The plant has the capacity to produce 15,000 packs per year, which could be doubled at short notice. The 25 kg packs are actually for the Mercedes S400 Blue Hybrid which is slated to launch in mid-2009. These are non-plugin hybrid packs with a peak power of 19 kw. The packs include a battery management system to keep the cells in an optimum working environment from a charge and temperature perspective.

This event is a very significant milestone in the global drive towards electrification of the automobile.

Source (Continental Automotive)

Posted by: Lyle

CEO of Compact Power Inc. on Timing of the GM Volt Battery Contract Announcement

GM vice chair Bob Lutz indeed recently noted that the prototype packs have been operating “flawlessly”, and that GM has already decided which supplier they would use.

I asked GM sources why they might delay making public or even notifying the supplier they chose, I was told “we’ll make this info available when the time is right, but not now.”

Previously Bob Lutz had said publicly that only one of the teams’ packs were being used in the running mules because that team offered “the least risk,” but wouldn’t say which. Shortly after we learned from Compact Power that it was indeed their packs which were running in the mules.

I just recently had the chance to interview the CEO of Compact Power, Dr. Prabhakar Patil, and asked him about contract timing.  We also had some other discussions which will be forthcoming.

GM said it would be in June 08 when they announced the supplier of choice. Can you say whether this has been delayed in some way, or do you not know when GM will announce their choice?
The only thing I can say is that I’m almost positive that the decision will be made this year, simply because of the timing that’s required to make the high volume manufacturing commitments, putting the lines in place and so forth to support the 2010 introduction. Beyond that its GM’s call regarding the pace and timing. So that’s a question better directed at them.

Will it require some time for a plant to be built on your end in order to roll out 10,000 packs?
I am doing my homework and doing the development that is necessary so that time doesn’t become our enemy if we are selected as the production supplier. That’s a conscious business decision.

What kind of capacity to you have right now to build those packs?
From a cell perspective, typically we will need about 12 to 18 months of lead time in order to set up a cell line and have it be “PPAP’d” (production part approval process). That’s all the way to a point where the line runs at full production speed, and what comes out meets all of the requirements.

That’s the reason why I know the decision will be made by the end of this year, because that’s simply the least time that we will need in order to be ready to go (by November 2010).

Posted by: Lyle

Volt Battery Supplier Chosen and GM Comments on Production Photo Leaks (POLL)

Lutz would not specify which company team that is, LG Chem/CPI or A123/Continental. High ranking sources within those battery companies advise me they they don’t know either. The decision should be made public sometime between now and the end of the year.

Per Lutz, “the Volt is real … and test work is progressing nicely. We haven’t hit any obstacles so far for the batteries. They are all performing flawlessly. It’s almost scary we are not seeing any problems with the batteries.”

Source (Detroit Free Press)

On another note, GM is acting officially off guard about yesterday’s leak of pictures of the production form VOLT from the Transformers2 set. GM spokesperson Rob Peterson told reporters “you can tell it caught me off guard. I didn’t even realize it (the Volt) was out of the state of Michigan.”

Peterson also said the car in the video was “representative of the production vehicle” which would be revealed soon.

Source (Edmunds)

I have also received confirmation from other sources that the interior photo of the Volt was the same shown by Volt designer Bob Boniface at the recent CAR conference, as the picture below reveals, meaning that it is correct.

One question remains. Is GM secretly involved in the leak of these images to build up excitement to the actual reveal? While they won’t say when that will be many speculate it will occur at the GM Centennial Event on September 16th.

From reader requests, here’s a poll. From what you see so far, do you like the look of the concept or the production version better?

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Posted by: Lyle

Continental AG Moving Towards Lithium-ion Cell Production

We were told in June of 2007 that one of the two battery pack supplier teams (Conti/A123 vs CPI/LG Chem) would be selected this summer. No word yet, but a report out of the Guardian indicates Continental is aiming to expand their lithium ion battery business soon.

They have also been selected to supply Daimler-Benz with lithium ion packs.

The report indicates Continental is apparently planning to develop their own cell-production capacity in addition to their current role as integrating cells of other companies into packs.

The company is so far working with both A123 and JCI/Saft  but at some point will pick a single company either to acquire or partner with.

Last month the company took a 16% stake in lithium-battery company Enax.

Indeed Continental’s multi-billion dollar lithium-ion electric future appear so bright that it is likely one of the reasons German ball-bearing maker Schaeffler has made a hostile bid to acquire them.

With A123 System’s IPO reportedly in the works for September, and speculation about GM planning its own battery production in-house, we appear to be on the verge of some major jockying for position.

Source (Guardian )

Posted by: Lyle

Continental Says Chances Good of Getting Volt Battery Contract

GM would not confirm they were close to choosing one supplier but that an announcement would be forthcoming.

A new interview with Continental’s board member Karl-Thomas Neumann was recently published.

He said "Our expectations are high and we’re confident that we made a good offer to GM."

He also indicated that if his company and battery supplier A123 Systems got the contract, Continental too would build a U.S. assembly plant.

Although I do not have definite confirmation from GM there appear to be some indications that a battery contract decision could come in August.

Source (CNN )

Posted by: Lyle

BREAKING: Has LG Chem/Compact Power Been Chosen to Supply the Chevy Volt Battery Pack?

The awarding of these initial contracts was first announced exactly one year ago (see post).

We were told then, that it would take one year of testing for GM to be able to choose one of the teams. That that announcement was supposed to have been this month.

In the interim we had heard that it might be possible for GM to utilize both suppliers for production, but a winner of the horse race could still be possible.

In GM vice-chair Bob Lutz’ most recent interview he dropped the bombshell that despite getting packs from both suppliers, only one teams pack is being utilized in 3 or 4 running mules.

Lutz said “we feel that at this point we have a lower risk with the one company.” So which company is it?

The Guardian just reported “an LG Chem unit is ready to supply next-generation batteries to the Chevy Volt.”

In the article, CPI CEO Prabhakar Patil said that their third generation liquid cooled pack has just been delivered and is working as planned. He also said Korean LG Chem has a plant in Korea ready to go and would build one in Detroit if they get awarded the battery contract. He said “our confidence level has just grown.”

The article indicates some lucky focus group folks will get to see the production Chevy Volt fiberglass model this weekend.

Patil mentioned that his company and GM were still discussing the idea of leasing the batteries to Volt owners to lower cost.

But in the newest bombshell, Patil let it slip that a CPI pack is powering the mule that Lutz just drove.

If that is true, since Lutz said GM is only testing one teams packs, then we might have our answer.

Source (Guardian)

Posted by: Lyle

Continental CEO Thinks They Have Good Chance of Winning Volt Contract

He also noted that if Continental wins the Volt contract, the German company would build a U.S. facility to make the packs.

Alternatively, it is possible GM could adopt both teams packs into the final production cars (see post ).

Source (Reuters )

Posted by: Lyle

My Introduction and Bob Lutz Showing Off the Battery Photos

We are getting more and more clips from the show to share with those who could not attend. The first clip is yours truly giving the opening comments. In the second clip you can see GM vice chairman Bob Lutz showing off some photos of the Continental/A123 pack. He had them safely hidden in a pocket. Having him there was actually a surprise too.

[flash http://www.youtube.com/watch?v=G7NC0v1qb40]

[flash http://www.youtube.com/watch?v=935Iqmvn3OA]

Posted by: Lyle