Miles Electric XS-500 delayed?

California based Miles Electric had plans to launch a full electric 4-door sedan, XS-500, by end of 2009 which now is rumored to be delayed. The car based on an existing gasoline powered Chinese sedan is to be priced between $35,000 to $40,000.

Miles Electric is known in the U.S. for their “neighborhood cars” which are more akin to golf carts. This will be the first highway ready electric vehicle from Miles Electric. The XS-500 has a top speed of around 80 mph and a range of around 120 on a single charge. The car uses a lithium ion battery pack which can be charged by plugging the vehicle into an electrical outlet.

The reasons for the delay seem to be the increasing costs of launching a vehicle in the U.S. market. New safety standards are requiring an upgrade to the air bags which is costing the company a lot more money than anticipated. The company is hoping to sell between 50 to 70 units in the first year of launch.