Volkswagen is developing a smaller electric car for the mass market. They say it’s in anticipation of even tougher climate regulations.
VW sees a small, affordable EV as a means of boosting its sales in a new green era. Under the project dubbed “Small Battery Electric Vehicle,” (or Small BEV) engineers are developing a battery powered car around the size of a Polo. It should retail for between $24,000 and $30,000.
The price would make the new EV even cheaper than Volkswagen’s ID.3 electric car, which went on sale in September 2020. Volkswagen has said the European Union’s more stringent emissions targets will force it to boost the proportion of Europe hybrid and EVs sales to 60% by 2030. That’s an increase from their previous target of 40%.
Earlier in November, VW raised its planned investment in EV technologies to $86 billion over the next five years. About $35 billion of that will be invested in e-mobility. The German automaker plans to build 1.5 million electric cars by 2025. Details of what the new small EV will look like (or a tentative launch date) were not announced by Volkswagen.