General Motors (General Motors) Will continue to close its Orion assembly plant in Michigan because of its recall Chevrolet Bolt EV Some cars caught fire due to battery failure.
according to NBC Finance Channel, GM will close the plant in the two weeks of September 13 and September 20 to resolve the issue with battery supplier LG Chem. Due to the shortage of battery packs caused by the recall, the Orion factory has been closed since August 23.
GM says It will stop selling Bolt EV or stop producing the vehicle until it completes the recalled repairs that will solve the fire risk issue,
A GM spokesperson told CNBC that the automaker will continue to work with LG Chem to solve problems and increase production of new battery modules.
General Motors has said that the battery pack’s problems stem from two “rare manufacturing defects”-torn anode sheets and folded separators-when they are both in the battery cell, they increase the risk of fire.
General Motors has confirmed that there have been at least 12 vehicle fires.
In August, as part of the recall, General Motors asked Bolt EV owners to change the settings of their cars to reduce the risk of fire.
According to Reuters, General Motors has expanded the initial recall of Bolt EV to include all models of the vehicle, estimated at 140,000 vehicles, and it is estimated that the replacement of defective battery modules will cost approximately US$1.8 billion.
General Motors said it is seeking compensation from LG Chem for the battery pack.
GM also has a series Temporary factory shutdown due to Semiconductor chip shortage.
According to Reuters, the company’s full-size truck and full-size SUV plants in North America will be fully operational next week, with its Ft. Wayne assembly plant in Indiana and the Silao assembly plant in Mexico.
The plants in Delta Town of Lansing, Michigan and Windsville, Missouri will be closed for a week along with the production of Chevy Blazer in Ramos, Mexico.
As of 2:00 p.m. Eastern Time on Thursday, General Motors’ stock price was $48.24, down 74 cents, or 1.50%.
Photo: Getty Images/Jeff Robbins
