Chevy Bolt Production Will Resume In Limited Capacity

GM confirmed this week that it intends to resume limited production of the Bolt electric vehicle at the Orion assembly plant in Michigan. Production of the Bolt has been halted since August when GM was forced to issue a massive recall of the electric vehicle due to defective batteries that have caused multiple fires. As a result, GM was unable to resume production until new battery packs were available that posed no fire risk.

In August, Chevrolet was forced to issue a wide recall on the Bolt covering more than 140,000 of the electric vehicles. Under the recall, GM was to replace the battery packs in every one of those vehicles. GM has confirmed limited production of the Bolt will resume on November 1 at the Orion Assembly plant where the vehicle is built has been idled until the end of October.

By beginning with limited production, the automaker can optimize production of the battery packs and supply chain logistics to support both new construction and battery pack replacements for existing vehicles under the recall. The recall has been incredibly expensive for GM in terms of money and reputation. However, it looks like most of the onus for the battery issues will fall on battery supplier LG Electronics.

Earlier this month, LG and GM came to an agreement on covering the costs of the recall. LG will reimburse the automaker for costs associated with the Bolt EV recall due to manufacturing defects in those battery packs. LG will reimburse GM $1.9 billion of the $2 billion GM expects the recalled costs.

Despite LG producing defective battery packs that harmed the reputation of the automaker and its electric vehicles, both companies will continue to work together. GM also noted at the time that it expected to begin repairing customer-owned Bolt vehicles this month.