Entry-level electric car in the works from Volkswagen

Thomas Schäfer, Volkswagen chief executive, with the ID.2all small electric car study presented in March 2023. An even smaller ID.1 is to follow in 2027. Marcus Brandt/dpa

Volkswagen has previewed what is said to be an entry-level EV that will rival vehicles such as the Dacia Spring.

The new city car is expected to cost the equivalent around €20,000 in its home market when the full production model is revealed in 2027, and could be called ‘ID.1’.

It will be aimed at the lower end of the electric car segment – a key battleground for European carmakers as they try to stop the threat posed by low-cost Chinese brands. The new budget city car will rival other value-for-money offerings such as the Dacia Spring and Citroen’s e-C3.

The car is expected to use the Group’s MEB-entry platform and have a range of around 200 miles on a full charge.

Thomas Schafer, chief executive of the Volkswagen brand and head of Brand Group Core said: “The future is electric. In order for electromobility to become widespread, attractive vehicles are needed, especially in the entry-level segment. Our brand promise is: electromobility for all. This promise is now being fulfilled in the Brand Group Core. Despite the attractive price, our vehicles will set standards in the entry-level segment in terms of technology, design, quality and customer experience.”

The forthcoming budget city is part of a wider plan to introduce a range of more cost efficient electric cars from the Volkswagen Group. It will see the German carmaker launch a number of new EVs under its Volkswagen, Cupra and Skoda brands.

It will comprise two small SUVs – one from Volkswagen and the other from Skoda, the latter has already been previewed by the Epiq concept car – and two hatchbacks – one from Volkswagen and the other from Cupra; the Cupra version has already been confirmed and will be called Raval. The four new EVs will be built in Spain from 2027 onwards.

"Generations of people associate the strong brands of Volkswagen Group with their first car – and with affordable mobility. As a group with strong brands, we continue to assume this social responsibility to this day," Oliver Blume, chief executive of Volkswagen Group said.

"That’s why I’m pleased that we’re launching a future-oriented project. It’s about entry-level electric mobility from Europe to Europe."