VW: Electric Compact Cars Will Still Be Expensive

Volkswagen has a warning for any electric vehicle enthusiasts hoping to get themselves into a small, affordable EV one day: these cars won’t be so affordable.

Speaking to Germany’s Welt am Sonntag newspaper, VW group chairman Hans-Dieter Poetsch said VW has a goal of making battery electric transportation available to the masses and making it more affordable. These cars won’t carry the low prices of today’s compacts, though, which can start at well under $20,000.

“We have the clear goal of making electromobility accessible to a broad section of the population, that is to make it affordable,” Hans-Dieter Poetsch told the German publication.

“The current price level cannot stay the same if these cars are equipped with electric motors,” he added. “Therefore, it will inevitably lead to significant price increases in the small car segment.”

This is already true for VW’s current crop of EVs. In its home market of Germany, the entry-level VW Up! starts at 10,625 euros, while the electric e-Up! is more than twice as much at 22,975 euros. An 11,000 euro electric compact with a usable amount of range seems like a highly unlikely proposition, then – at least in the near to distant future.

The first electric VW to be sold under its new ‘ID’ EV sub-brand, the VW ID Hatch, will go on sale in Europe later this year. Official pricing has not yet been announced, but VW has indicated it will cost about the same as a Golf diesel, placing its price at around 20,000 euros. It is expected to have a maximum driving range of around 340 miles.

The cheapest EV on sale in the United States right now is the Smart ForTwo Electric drive, which starts at $25,000 before taxes and potential government rebates.

[Source: Reuters]

a version of this article first appeared on hybridcars.com