Volkswagen’s affordable EV strategy: New models to compete in Europe

Volkswagen announces new affordable EVs like ID Polo and ID Cross, priced from €25,000, to compete with Chinese brands in Europe. Learn about the MEB+ platform and cost-cutting strategies.
Volkswagen has announced an ambitious strategy to produce affordable electric vehicles, aiming to maintain its position in the European market. The new lineup of models based on the MEB+ platform will be a key element in the battle for market share, where pressure from Chinese manufacturers is intensifying.Under the Electric Urban Car Family, three models will launch soon: the ID Polo, ID Cross, and an updated ID3 Neo. The base hatchback will cost around €25,000, with the crossover starting at €28,000, placing them squarely in the mass-market segment. This move allows Volkswagen to compete with models like the Renault 4 and budget electric cars from China. The main focus is on cost reduction through platform unification.Volkswagen is pooling resources within the group, including Cupra and Skoda, to cut development and production costs. At the same time, the new models will feature modern technologies, such as advanced driver assistance systems and an updated multimedia architecture. Special attention is being paid to returning to the brand’s core philosophy. Volkswagen acknowledges that it strayed from the “people’s car” concept and now aims to restore affordability and practicality.Production will be concentrated in Europe, which should reduce dependence on external suppliers and strengthen its position in the local market. Against the backdrop of growing competition and industry transformation, this step appears to be an attempt to reboot the brand for the electric era and regain the trust of mass-market buyers.Overall, Volkswagen is taking a logical, albeit delayed, step. If the company can genuinely lower prices without sacrificing quality, it could reclaim its leadership. However, competition with Chinese brands will be extremely fierce.