VW Wants Its Cheapest Electric Car To Be Priced Below $23000

VW is reportedly planning to offer an electric car for less than 20,000 euros ($22,650 in current exchange rates) and convert three German factories for EV production, according to Reuters.

The Volkswagen Group will discuss its plan at a supervisory board meeting on November 16, with said electric car known internally as “MEB entry” and planned for an annual production volume of 200,000 units.

If true, the new electric VW’s price will undercut EVs like the Chevrolet Bolt by around $10,000 and the Nissan Leaf by around $7,350.

Reuters cites an internal source with knowledge of the carmaker’s plans, saying that another EV, the I.D. Aero, will be produced at a factory that currently builds the VW Passat. The German carmaker is also discussing a potential collaboration with SK Innovation, a battery cell manufacturer, as well as Ford.

VW and Ford have reportedly been in talks about an alliance for the development of autonomous driving technologies and electric cars. A final agreement might be announced during the supervisory board meeting.

The German carmaker wants to build the I.D. Buzz at their plant in Hannover, Germany, which builds the T6 van. But in order to free up production capacity in Hannover for the I.D. Buzz, it is looking into moving production of the T6 at Ford’s factory in Turkey.

In the same meeting, VW’s supervisory board will discuss the details of their plan to transform the company from Europe’s largest carmaker into a mass producer of electric cars, according to another source. The German carmaker has already announced that the I.D. hatchback will arrive in the market in 2020, along with the I.D. Crozz SUV, while the I.D. Buzz, an electric van that hopes to revive the classic Bus, in 2022.

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