A brand-new, larger Volkswagen electric SUV is set to debut in the United States. Despite some major players in the automotive industry scaling back their electric vehicle (EV) commitments, Volkswagen reaffirms its dedication to electrification and is pressing forward with its ambitious EV strategy. While exploring alternative options, the manufacturer may consider introducing hybrid models as a potential strategy to revitalize flagging sales in the US market.
Volkswagen reaffirms its commitment to the US electric vehicle market, despite recent setbacks.
Following a significant surge of 84.2% year-over-year, Volkswagen successfully delivered 37,789 electrical autos, specifically the ID.4 model, in the US market last year; with this momentum, the brand is poised to accelerate its sales further in 2024.
Volkswagen emerged as the eighth-largest electric vehicle (EV) manufacturer in the United States for the past year, capturing a 3.2% share of the domestic market. Despite a rise in gross sales, Volkswagen still trailed its competitors, Mercedes-Benz, BMW, and Hyundai.
Despite rivals such as Mercedes, Ford, and General Motors revising their electric vehicle (EV) targets downward due to slower-than-anticipated demand, Volkswagen Group of America’s CEO Pablo Di Scio remains committed to the company’s EV strategy.
During VW’s annual media convention, Di Si repeatedly emphasized, “We’re not questioning the long-term.” Feedback mirroring those of VW Group CEO Oliver Blume. Blume established a strong foundation for its group in 2023.
“With compelling products, unwavering focus on execution, we’re looking forward to a confident start in our 2024 fiscal year,” Blume said.
Volkswagen anticipates a successful transition to profitable growth in its North American operations. Volkswagen CFO Arno Antilitz forecasts the company will experience its strongest growth in North America this year, with declining interest rates expected to boost the market.
The German automaker is bolstering its electric vehicle offerings by introducing a longer-range ID.4, as well as two brand-new all-electric models: the ID.7 and ID.Buzz.
Volkswagen plans to introduce a new fully electric SUV in the near future, while also considering the possibility of introducing plug-in hybrid electric vehicles (PHEVs) within the United States.
Although Di Si isn’t impressed by the novel electric vehicles’ purported significant advancements, he labels them as showpiece models instead. Will the ID Buzz become a high-volume seller akin to the Atlas? In likelihood, they don’t require it. This innovative solution is tailored to address specific needs within its designated market.
The head of the North American division for the vehicle manufacturer indicated that Volkswagen plans to continue investing in sport utility vehicles (SUVs). Volkswagen has reportedly committed to unveiling a large electric sport utility vehicle (SUV) in the US market, which may potentially mark the automaker’s most significant EV offering yet.
While acknowledging that electric vehicles (EVs) are a long-term play, Blume emphasized our company’s versatility in adapting to market fluctuations.
Volkswagen does not currently offer a plug-in hybrid electric vehicle (PHEV) or any hybrid option in the United States, although this may be subject to change. Volkswagen reportedly examines the matter thoroughly and seems poised to address the issue within a timely manner.
The Volkswagen brand introduced its Tiguan PHEV to the European market, boasting an impressive all-electric range of up to 62 miles. “After clarifying our concept, we’re exploring ways to harmonize and adapt it for various markets,” Di Si stated.
Despite initial reservations, the chief failed to scrutinize plans for a plug-in hybrid electric vehicle (PHEV), while explicitly expressing his reluctance towards embracing new technology. Volkswagen, according to Di Si, possesses the platform and technology. “We can easily modify this concept to suit another SUV model if required.”
Volkswagen isn’t the sole automaker eyeing a significant pivot towards hybrid vehicles. Automotive giants Toyota, Ford, and General Motors (GM), among others, have unveiled ambitious plans to address the industry’s evolving landscape.
Porsche has reaffirmed its commitment to electric vehicles, announcing plans to introduce multiple new electric models, including the highly anticipated Macan EV and an updated Taycan lineup. According to Blume, Porsche’s Macan EV has garnered an impressive 10,000 pre-orders before a single test drive has taken place.
