Report: VW Could Lose €3,000 Per ID. Hatch

VW will start taking orders for the ID. electric hatchback early next month. A new report says that when they start to arrive, the company will lose around €3,000 per car.

The ID. will come with three tiers of battery for range and cost choices, with the lowest having a 48-kWh battery and about 200 miles on the WLTP cycle. German magazine Auto Motor & Sport says that the cars will start at €29,990 before incentives. That’s around $33,600. Based on that selling price, the magazine thinks that VW will lose about €3,000 per car. Or about $3,300.

That sounds like a massive figure. Especially since VW is expecting to sell hundreds of thousands of electric cars. But in the context of reports from other automakers, it might not be that bad.

In 2016, The Detroit News said that GM could be losing up to $9,000 for every Bolt EV it sold. The late Sergio Marchionne said that FCA is losing around $20,00 per Fiat 500e. Even Tesla, who sells more EVs than anyone right now, is struggling with profitability. So in contrast, that VW number doesn’t sound so bad.

The report also says that that loss is expected in the startup phase, and shouldn’t be permanent. With the profit on EVs expected to top the profit of conventional cars from 2025.

The first version for sale will be the 62 kWh mid-range battery, with 248 miles of range. The other battery pack options will follow. Expect the production version of the car at the Frankfurt show this September.