GM sells 1.8 million cars to US for $4.5B, says company

Chevrolet will spend $4 billion on U.S. sales of its Volt electric vehicle and its new Volt electric hybrid vehicle to fulfill a $4,541.8-million (U.S.) purchase commitment from General Motors, the automaker said on Tuesday.

In a statement, GM said the two-year deal includes “new vehicle technology and engineering support,” as well as a $100 million cash incentive and other financial commitments.GM said the deal will help the automakers “better support the global EV and plug-in market and will support GM’s future growth in electrified vehicle sales.”

In an interview with Reuters on Monday, GM Chief Executive Mary Barra said GM would offer more than $2,000 per new Volt, but that it would not offer a lower price than $3,000.

She also said GM had not yet finalized the deal, and that it was “going to go through all the regulatory approvals and all the stages that are necessary before we can get to that point.”GM said it would sell the Volt to the U.K. and Canada in 2018, and to Mexico in 2019.GM will begin selling the Volt in Europe in 2020, Barra added.

The company is spending $1.8 billion on the new Volt and the other three vehicles that it acquired from the German automaker last year.

The remaining $1 billion was used to buy back the cars that GM sold to customers around the world before it acquired them.GM says it will sell 1.9 million Volt EVs to U.C.N. partners, and is planning to sell 4.5 million in 2021.