Volkswagen unveils more affordable electric cars

Europe's leading automaker Volkswagen unveiled a new family of more affordable electric city cars on Monday that are likely to withstand Chinese competition as the crisis-hit German industry attempts to revive itself.

The Wolfsburg-based group's offering, presented as a curtain-raiser at the Munich Motor Show, consists of four models from the Volkswagen, Cupra, and Škoda brands, with a starting price of around 25,000 euros (just over 23,300 francs), according to a press release. The commercial launch is planned for 2026, to counter the wave of Chinese brands flooding into Europe with cheap, high-quality electric vehicles.

Volkswagen says it has achieved significant economies of scale on its models thanks to the shared use of the modular electric vehicle (MEB+) platform and a battery featuring a new unified cell for the group for the first time.

The stated medium-term ambition: a market share of around 20% in the booming small electric car segment in Europe, which corresponds to several hundred thousand vehicles per year, according to the press release. The models presented include the ID.Polo from Volkswagen, the designated rival of the Renault 5, and the ID.CROSS, to counter the Renault 4.

This family of electric urban cars represents "our contribution to the breakthrough of electric mobility in the service of sustainable mobility" and "for a strong Europe," declared the group's boss, Oliver Blume, to the press.

Volkswagen, along with its premium competitors BMW and Mercedes, are banking on the Munich IAA Mobility show to boost their industries. BMW is unveiling the electric iX3, part of its Neue Klasse family, in Munich, and Mercedes is unveiling an electric version of its successful GLC SUV.

A stinging detail: while the leaders of the three groups place great hopes in this new generation to restore their competitiveness, those of BMW and Mercedes are calling for a review of the ban on sales of combustion engine cars from 2035, as set by the EU. On Monday, they were joined by Italian Antonio Filosa, head of Stellantis, the world's fourth-largest carmaker.

All advocate a more flexible and diversified transition in engine types to preserve the European automotive industry.