Upcoming Cadillac ELR to be cheaper than the Tesla Model S

General Motors Co. revealed production plans for the ELR coupe that is currently in development. An insider said that the ELR will be sized similarly to the Volt but GM has yet to officially announce pricing, specific details, or when the car will go on sale. The source said that the new model will be produced in the Detroit plant that also produces the Volt. In a May 18 statement, GM said that this year, around 16,000 Volts will be produced. GM has a target of 60,000 units in 2012. GM had set a target of 15,000 units this year and 45,000 units for next year.

The Volt is powered by a T-shaped lithium-ion battery, enabling it to go 25 to 50 miles. When the battery runs out, its range is extended to over 340 miles due to a gas engine. GM said that Tesla’s base-level Model S, which can be driven 160 miles on a single charge, is priced at about $57,400. A version that can run about 230 miles has a price tag of $67,400. These are the prices for the Tesla models before a $7,500 federal tax credit is considered.

Last January, Chief Executive Officer Dan Akerson said that he wants all of GM’s four brands to each have a model that features Chevrolet’s Voltec electric-drive technology. GM recently said that the ELR is based on its Cadillac Converj concept car, the development of which was halted last year. Eric Noble, president of The Car Lab, an automotive consulting firm in Orange, California, said that Cadillac buyers will be willing to pay premium prices as this is “premium technology.” He said this solves an issue that GM has with the Volt, as it’s a small Chevrolet sedan that costs $40,000.[via : 4wheelsnews]

Photo : Cadillac ELR