In early March, Volkswagen intends to unveil the new entry-level model’s display car to the public. The production model is expected to make its global debut in 2027. The new entry-level electric vehicle will appeal to a wide range of user groups due to its basic price of around €20,000. Thomas Schäfer, CEO of the Volkswagen Passenger Cars brand said:“An affordable, high-quality, and profitable electric Volkswagen from Europe for Europe – that’s the Champions League of automotive engineering!”
One of the brand’s future goals will be to provide low-cost entry-level mobility in the electric age. The new electric vehicle, together with the production version of the ID. 2all, is part of a new electric compact car family created by the Brand Group Core inside the Volkswagen Group. The model family consists of tiny all-electric cars built on the latest iteration of the modular electric drive (MEB) architecture. The first new vehicle will be the production version of the ID. 2all show car, which will hit stores in 2026 as Volkswagen’s first all-electric compact car—with a starting price of less than €25,000.
Volkswagen has a strong position in the market for battery electric cars (BEVs) that run entirely on electricity. The brand has sold over 1.35 million ID. vehicles worldwide since the ID. product line was introduced in 2019, including around 500,000 ID.3 vehicles. 383,100 all-electric cars were sold under the Volkswagen brand last year.
The next generation of a completely digitalized, all-electric, and highly scalable mechatronics platform built on a consistent system architecture will be called the Scalable Systems Platform (SSP).
Cavallo said: “Wolfsburg, the heart of the Group world, will face crucial tasks that we will need to tackle with determination. Technical Development will be performing pioneering work for all the other passenger car brands with the SSP platform, which will be used throughout the Group. This lever will be just as important for our future success as our platform strategy for our current ICE models. At our main plant, we will not only be working on development but also producing strongly over the next few years. The future electric flagships – the Golf and the T-Roc produced in Wolfsburg – currently represent a volume in excess of 500,000 units per year. The main plant has therefore secured a highly attractive vehicle segment and will be continuing the tradition of the Golf from Wolfsburg, which has a history of more than 50 years. It will now be crucial to work consistently on the preparations required for success in the years to come. Volkswagen must set the course in terms of complexity, work procedures and synergy effects. The Works Council and top management will cooperate closely on these developments. Our cooperation will include a joint progress meeting every quarter.”
The “triple A” strategy of the Volkswagen brand is to accelerate, attack, and accomplish.
At the end of December 2024, Volkswagen AG and employee representatives reached a consensus on a future vision that combines employment, economic stability, and technological leadership in the field of sustainable mobility through the “Zukunft Volkswagen” (Future Volkswagen) agreement. Future initiatives are built on the foundation of binding objectives and the agreed-upon means to achieve them. By 2030, the Volkswagen Passenger Cars brand, which forms the foundation of Volkswagen AG, is expected to become the world’s most technologically advanced volume manufacturer.
Volkswagen has implemented a bold three-phase plan for this purpose:
Catch up: Cost structure optimization and focused expansion of the current model portfolio are needed to boost competitiveness.
Attack: By 2027, nine additional models will be available, including the production-ready ID.2all, which will cost less than €25,000, and the entry-level electric vehicle, which will cost around €20,000.
Lead: Volkswagen is establishing new benchmarks and pushing the boundaries of mobility globally as the volume segment’s top technology brand.
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