A new affordable electric car was revealed by German-Hamburg automaker Volkswagen on Wednesday as the EV market faces more competition.
When it debuts on the European market in 2025, the ID. 2all model, which has front-wheel drive and a range of up to 450 kilometres (280 miles), will cost less than 25,000 euros ($26,300).
The business expects to release 10 new electric cars by 2026 as it dramatically increases spending in electrification and digitization.
VW stated the new models will offer it “the biggest variety of electric cars compared with its competitors” with the objective “to attain an electric car share of 80 percent in Europe”.
“We are undertaking the transition at pace to provide electric mobility to the masses,” Volkswagen Passenger Vehicles CEO Thomas Schaefer said in a statement.
According to Thomas Schmall, a member of VW’s board of directors, the business is optimistic that “economies of scale” attained through strong sales volume would allow it to retain the low price point.
Volkswagen had said on Tuesday it would invest 122 billion euros in the shift towards electric vehicles over the coming years.
“As early as 2025, every fifth car sold worldwide is likely be one with an all-electric powertrain,” the association added.
Volkswagen claimed that efforts to develop more battery plants and costs associated with obtaining battery raw materials were “a key driver” for the rise in spending.
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