Volkswagen teases an affordable electric SUV for the masses

Volkswagen is looking back to its roots: building vehicles for the people. The German automaker claims it is preparing to unveil a new, compact electric SUV for the budget-conscious consumer, a direct challenge to the idea that going electric has to be expensive. A preview of this new model is expected on September 7 at the IAA Mobility Show in Munich.

This upcoming EV (official name is still under wraps) is shaping up to be a crossover version of the well-received ID.2all concept. That concept, a small four-door hatchback, was introduced in 2023 with a bold promise of a $29,300 starting price. Since the world is obsessed with SUVs, creating a high-riding version of its entry-level electric car is a clever move for Volkswagen. It will slot neatly below the larger ID.4, offering a much-needed, more accessible entry point into the brand's lineup of electric SUVs.

Based on an early design sketch, the new concept promises a confident and somewhat boxy stance, arguably more traditional in its SUV proportions than the sleeker ID.4. The drawing published by VW reveals modern EV staples like light bars across the front and rear, and even an illuminated VW badge.

The oversized wheels and absent door handles are typical concept-car flair, but the fundamental shape appears practical. For the final production model, we expect to see the conventional door handles and rugged black plastic cladding around the wheel arches to complete its crossover look.

The new electric SUV will mirror the compact footprint of the ID.2all concept, which measured 159.4 inches long and 71.3 inches wide. This would make it similar in size to Volkswagen's gasoline-powered T-Cross, but thanks to the dedicated electric vehicle platform, the interior is expected to be surprisingly spacious for its size.

This new family of affordable electric cars will be riding on a modified version of Volkswagen's modular electric drive (MEB) platform. Unlike the larger ID.4 and ID.3, which are primarily rear-wheel drive, this new architecture is designed for front-wheel drive. This will help to reduce costs and complexity.

The ID.2all concept had a front-mounted motor delivering 222 horsepower, enabling a 0-62 mph sprint in under seven seconds. A similar performance can be expected from its crossover sibling, offering more than enough power for daily driving.

The crossover will obviously command a slight premium over the hatchback's $29,300 target, but it should comfortably remain below the $47,000 barrier, opening up EV ownership to a much wider audience. The company is also developing an even more basic ID.1 model, targeting a $23,000 price point by 2026. This aggressive pricing strategy is backed by strong momentum, with the Volkswagen Group reporting a 47 percent uptick in EV sales in the first half of this year.

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