The production of Cadillac Lyriq EVs at GM’s Spring Hill Factory is gradually improving, with some previous hurdles being resolved. Initially, there were plans to raise the price of Cadillac’s debut electric vehicle to nearly $70,000 from its current starting price of $62,990 for the 2024 model. This increase, in line with industry trends as companies grapple with sourcing key components, is no longer on the table.
According to a report by Motor Authority, Cadillac has decided not to proceed with the $10,000 price hike, opting instead to strip some features from the original specification to maintain a price level around $63,000. As cited in an interview with a Cadillac representative by The Drive, the RWD model will now start at $60,000.
While the specifics of the changes to adjust the price downwards were not disclosed by the Cadillac spokesperson, it is likely that certain luxury features such as leather seats, sunroof, and power tailgate may be omitted from the base model to accommodate more cost-effective alternatives.
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Cadillac
The upcoming 2024 model will introduce the 500-horsepower, all-wheel-drive Lyriq, with a slight anticipated price reduction following these adjustments. Initially priced at approximately $65,000, it is expected to now hover around $64,000, as indicated by a Cadillac spokesperson.
While this price revision may be exclusive to Cadillac for now, it could mark the start of broader industry changes. It is uncommon for an automaker to backtrack on a planned price increase. Despite current economic uncertainties, improvements in the supply chain for crucial resources like battery cells and chips are improving the outlook for auto manufacturers. This positive trend coincides with a potential decline in overall car demand.
The adjustment in car prices provides a refreshing change from the continual rise seen in recent times. This shift in pricing dynamics could signify a new direction for the industry.
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