Volkswagen Group believes it can make electric cars affordable

Volkswagen Group believes it can make electric cars affordable

Jakarta (ANTARA) – Volkswagen Group is confident that they can build an electric car for around 27,000 US dollars (around Rp.400 million). The German car giant also believes that such a price would not harm the company’s revenue stream, reported British motoring publication Autocar UK.

In an interview, as quoted from Hindustan Times, Sunday, the Chief Financial Officer of Volkswagen Group, Arno Antlitz said that the company believes it can launch affordable electric cars without losing money.

His comments come as Volkswagen has unveiled a concept ID. 2all, which is expected to be an electric car with a Polo-like design when it goes on sale as a mass production model in 2025. The electric car is expected to sell for around $27,000 in Europe.

Interestingly, Volkswagen is also working on a smaller and cheaper electric car that will be called the ID.1. This car is expected to sell for around 22,000 US dollars (around Rp. 326 million).

In addition to the upcoming affordable electric car, Volkswagen also plans to make full use of its portfolio of car brands to build similar electric cars under the Skoda and Cupra brands.

Speaking about the strategy, Antlitz said that the brand believes it can do a lot in terms of economies of scale.

“Now we can do a lot considering the economic levels. Within our product group we produce four cars including Cupra and Skoda. This amount will help us reduce our prices to remain competitive and remain profitable,” he said.

In addition to making affordable electric cars, the Volkswagen Group handles its battery packs and manufactures them at a plant in Valencia, Spain.

This battery pack is expected to contribute significantly to the car company’s opportunities to take advantage of the upcoming affordable electric models.

“The biggest innovation will come from the technical side. This car will use self-made battery cells from our factory in Valencia. We are increasing production, later we will have a large scale,” he said.

Read also: Volkswagen is preparing for electric transmission, including the Tiguan model

Also read: Volkswagen shows the development of affordable electric cars

Read also: Volkswagen has high hopes for the Chinese market

Translator: Fathur Rochman
Editor: Satyagraha