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Volkswagen will continue to produce electric vehicles in the United States and consider hybrid vehicles

Publish Date: 2024.03.15

  According to foreign media reports, Volkswagen has stated that the demand for electric vehicles among American consumers has weakened, but Pablo Di Si, President and CEO of the group's US company, stated that Volkswagen will adhere to its electric vehicle plan.

  

  In most of the electric vehicle market in the United States, sales growth has slowed down due to consumer dissatisfaction with generally high new car prices, range, and lack of charging infrastructure.

  

  Di Si stated that sales of electric vehicles were quite strong throughout 2023, and it wasn't until November and December that demand began to slow down. On March 13th, he said at the annual media conference of Volkswagen Group, "We are not questioning the future. The future is the era of electric vehicles. Now is just a transitional period."

  

  Di Si's views on electric vehicles are largely consistent with the comments made by Volkswagen Group CEO Oliver Blume during the meeting. When asked about the demand for electric vehicles in the market, Blume stated that electric vehicles are a "future trend", but he also added, "We have enough flexibility to adapt to changes in different markets." In the US market, Blume's flexibility includes selling plug-in hybrid electric vehicles (PHEVs).

  

  Image source: Volkswagen

  

  Although PHEV has a market share of less than 2% in the United States, its position as one of the ways to reduce carbon emissions in the automotive industry is becoming increasingly prominent. General Motors is adding PHEVs to its product line, which is contrary to the company's previous plan. As a pioneer in hybrid vehicles, Toyota is still committed to creating a product portfolio for hybrid vehicles.

  

  As of now, Volkswagen has not yet started selling PHEVs in the United States, but Di Si stated that the company is carefully studying and hopes to resolve this issue in the short term. He mentioned the recently launched PHEV version of the Tiguan in Europe, which uses an upgraded version of the Volkswagen MQB platform and has a pure electric range of up to 62 miles (approximately 99 kilometers).

  

  Although he did not disclose when Volkswagen will launch a PHEV model in the United States, he stated that the brand does not need to create new technology. He said, "What's important is that we already have the platform and technology. If we're willing, we can apply it to another SUV."

  

  Arno Antlitz, Chief Financial Officer and Chief Operating Officer of Volkswagen Group, stated that North America may become the company's fastest-growing market in 2024. Di Si stated that he believes the performance of the North American market, mainly in the United States, will be stronger this year than in 2023, and pointed out that interest rates are expected to decrease this year.

  

  Volkswagen's electric vehicle lineup in the United States will be strengthened this year, including the new ID.4 crossover and two new models: the ID.7 sedan and the ID Buzz mini van. The ID. 7, which is equivalent in size to the Passat, will be launched in the United States in the third quarter of this year, while ID Buzz will begin delivery before the end of the year. Both of these cars will be produced in Germany.

  

  Di Si stated that most of Volkswagen's investment will continue to be focused on SUV models. He also reiterated that Volkswagen is still planning to launch a larger electric SUV. He stated that he does not believe that the ID Buzz and ID. 7 will achieve too high sales in the United States, but he refers to these two cars as "halo models".

  

  This article is reprinted from Gaishi Automotive Information Network

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