Volkswagen is working on a 'small, affordable' entry-level electric car

Volkswagen is looking into the possibility of creating an entry-level electric car below the Polo-sized ID.2 (pictured above) according to the firm’s technical development boss, Kai Grunitz. “We’re really working on an ID.1 or small ID or whatever the name will be. It's really important to have this small affordable vehicle.”

So far electric cars have proved themselves to be considerably more expensive than their petrol-engined equivalents, and with batteries forming the bulk of that price difference, small cars with their thin profit margins mean most marques (even the new Chinese brands), have given them a wide berth. Grunitz is confident VW is nearly there. “With our unified cell coming in 2026, we really will reduce the price of the battery itself.”

But can the VW Group repeat the success of the Up/Mii/Citigo and develop the car by itself, or will it need outside assistance? “The question is not ‘can we do it by our own, yes or no?’” says Grunitz. “I think from a technology perspective we could do it. In the end, it's a question of scalability. And yeah, it's really difficult to get a really affordable, fully electric vehicle. That's tricky.

“We are also looking for co-operation partners outside the group. So we will see how this will end up,” he said, refusing to confirm rumours of a Stellantis tie-up. “It has to be profitable. But for VW this car is much more important than earning money, because it is the entry to our brand. Your first car has to be affordable for you. If you go into an ID.1 then maybe a little bit later your next car will be ID.2 or 3 or 4. And for that reason, it's really important to have this small affordable vehicle.”

It won’t however, use the scalable SSP platform that will likely arrive in 2028 and underpin everything from the Polo to the Bentley Bentayga. “This car will not be part of the SSP, because SSP will be a little bit later. So it will be a new platform.”

An adaptation of the existing MEB underpinnings? “We will see. We are investigating different possibilities.” Watch this space.