Chevrolet's most affordable truck is slated for a price increase, a spokesperson for the automaker has confirmed. The 2021 Chevy Colorado's base trim will increase by $4,000, and while this may seem a lot, there's a good reason for the sudden price hike.
The 2021 Chevy Colorado's base MSRP is now $26,395, compared to the previous pricing of $22,395. The price increase was decided due to the fact that the Colorado Base Extended Cab, the brand's current base model, is being discontinued. This makes the Extended Cab Work Truck the cheapest trim you can buy.
A spokesperson for Chevy told CNET Roadshow that one of the reasons for the current base trim's retirement is its low take rate and that the reshuffled entry-level model will be a "compelling" package.
An analysis by Cars Direct found that the current price of the Work Truck is actually increasing by just $500, now $26,395 from $25,895. This is because of the MSRP increase of $400 plus a $100 jack up in destination charge from $1,095 to $1,195. That's fairly reasonable, considering that the truck was actually redesigned and will benefit from an improved aesthetic similar to the flashier Chevy Silverado 1500.
The problem with the affordable Colorado is that it's often excluded from incentives and is rarely stocked, which is common with numerous GM base trims. So the tendency of most car hunters is to go for other styles that are priced way better. In late 2019, Colorados were eligible for up to $4,600 in savings due to the GM Employee Pricing.
For now, that's by far the most expensive price hike from Chevy. In 2019, the company had sold over 122,000 Colorados, nearly 10% fewer than in 2018. Meanwhile, rival Toyota Tacoma managed to sell 248,000 units in the same period.
In truth, a $4,000 price increase is not an easy announcement to take, but consumers will most likely go for versions that are jacked up merely by $100 to $500 in actuality. And if we look at the competition, the 2020 Tacoma for example, it doesn't give you much for its more affordable base price: a 4-cylinder engine with 159 horsepower. With the 2021 Colorado, you get a whopping 200 horsepower, and that's just the base trim.
If you look at it from this perspective, the price isn't that bad. In fact, it's indeed reasonable. For 2021, the midsize Colorado pickup receives a more aggressive look for its WT, LT, and Z71 trims that includes an updated front mug with a new layout, logos, skid plate, and new tailgate.