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Bolt with Longer Mileage Expected to Help LG’s Auto Parts Business
‘Bolt Effect’
Bolt with Longer Mileage Expected to Help LG’s Auto Parts Business
  • By Michael Herh
  • September 30, 2016, 02:15
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Chevrolet Bolt, a next generation eco-friendly car of GM, is expected to contribute to expanding sales of LG Electronics and LG Chem which produce related components and parts.
Chevrolet Bolt, a next generation eco-friendly car of GM, is expected to contribute to expanding sales of LG Electronics and LG Chem which produce related components and parts.

 

The market quite positively responded to the Chevrolet Bolt, a next generation eco-friendly car of GM. In particular, a steady increase in its batteries and infotainment system is expected to contribute to expanding sales of LG Electronics and LG Chem which produce related components and parts.   

According to foreign media reports on September 29, GM said that they will retail the Bolt for US$37,495 after announcing that the model received a certificate of its mileage of running 238 miles (383 km) on a single charge from the US Environmental Protection Agency (EPA).

In the US, a tax break of US$ 7,500 will lower the Bolt’s price to US$29,995. At the moment, GM does not have a plan to launch the model in Korea. But if the car sells in Korea, the central and local governments’ subsidies will enable Korean consumers to buy the car for about 22 million won. 

The automobile industry expects that the advent of the Bolt will fuel the launches of many electric vehicles with mileage of 300km or longer next year.  

Tesla already has a plan to launch the Model 3 which can run 215 miles or 346 km on a single charge next year. It is said that Renault will take the wrap off the electric car Joy which can run 200 miles or 320 km or longer at the Paris Motor Show that will start on September 29 (local time). In the case of the Renault Joey, it is expected that the new model will be loaded with a 60kwh battery produced by LG Chem with a capacity which is about double those of current models.     

Industry watchers are predicting that good reviews of the Bolt and the popularization of electric cars with mileage of 300km or longer will drive up sales of electric car parts of LG Chem and LG Electronics. LG Electronics is supplying 11 core parts including drive motors, inverters, car chargers, electric compressors, battery packs, instrument panels and infotainment systems to the Bolt. The Korean electronics giant is steadily receiving attention from automakers while it was reported that LG signed a deal to supply batteries to Faraday Future picked as a rival horse to Tesla.