DETROIT -- Cadillac said it will slash $10,000 from the price of the light-selling ELR plug-in hybrid for the 2016 model year.
The sticker price will drop to $65,995, including shipping, from $75,995, after 18 months of miniscule sales of the sleek coupe. Most buyers would qualify for a $7,500 federal tax credit.
Software upgrades to the battery system will boost the car's power and torque by more than 25 percent, shaving about 1.5 seconds from its 0-to-60 mph time, to 6.4 seconds, Cadillac said in a statement.
Dealers and automotive reviewers have criticized the lofty price of the ELR since it debuted in December 2013. It's more than double than that of the Chevrolet Volt, which shares its drivetrain and underpinnings with the ELR.
Sales have been tepid, even for a car that Cadillac officials had said would be a low-volume halo car meant to give the brand an air of exclusivity.
Cadillac sold 1,310 ELRs last year, well short of the 2,200 cars that IHS Automotive had forecast. A GM insider had told Automotive News ahead of the car's launch that the company's internal forecast was higher than 2,200.
Heavier incentives and sweetened lease deals have improved sales in recent months. Cadillac dealers delivered 311 ELRs in the first quarter, 73 percent more than the same period last year.
GM said engineers have retuned the chassis and steering for better handling, including a revised front suspension and stiffer rear axle. The regenerative brake system has been revised for improved feel.
Cadillac also has added a Performance package that includes 20-inch tires with better grip and front Brembo brakes. The upgrades include different calibrations for a continuous damping system and electric power steering, giving it a "more direct, linear feel for the driver," the company said.
Like the Volt, the ELR's drivetrain deploys two electric motors and a battery pack to produce about 39 miles of electric-mode driving. After that, a range-extending 1.4-liter gasoline-powered generator kicks on to provide electricity to the motors, for an overall range of 330 miles.
“ELR’s combination of leading technology with stunningly attractive design is unlike any other coupe in the luxury segment,” Cadillac President Johan de Nysschen said in a statement today. He said its extended range gives it an edge over other luxury EVs by eliminating range anxiety.
Interior upgrades include the addition of 4G LTE broadband service and wireless phone charging.
The re-engineered car goes on sale by September.
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