The first electric car from Volkswagen built on the new MEB platform is almost here. The Volkswagen ID.3 could be to Europe what the Tesla Model 3 is to North America, a groundbreaking electric car.
According to Herbert Diess, the chairman of the board of management of Volkswagen, the ID.3 is 40 % cheaper to build than the e-Golf.
If you focus on an electric platform, all in all it accounts for a 40% reduction against the predecessor electric Golf. Most of it from cells and the battery system. Around 5-10% comes from dedicating an entire plant to electric vehicles.
While the Volkswagen ID.3 adopts the new MEB platform, exclusively made for electric cars, the Volkswagen e-Golf uses the hybrid MQB platform made to allow multiple powertrains.
Nonetheless, most of the savings come by replacing NCM 111 battery cells from Samsung SDI with new more energy-dense NCM 712 cells from LG Chem. The reduction of the cobalt content in NCM 712 batteries allows to achieve around 90 euros per kWh at the battery pack level, which is crucial when the goal is to reach high production levels.
In the future, Volkswagen can further reduce costs by adopting CTP (module-less) batteries that are cobalt-free.
Battery costs roadmap by Volkswagen
This means that the Volkswagen ID.3 will be highly profitable, but don’t expect it to be at least 40 % cheaper to buy than the e-Golf. With electric cars, production costs and prices are hardly related.
Currently, the reality is that legacy automakers first estimate how many electric cars they need to sell to comply with emissions regulations to only then estimate for how much they can sell them and still find the required customers.
A clear example of this situation is the COVID-19 lockdown, which resulted in a drop of ICE (Internal Combustion Engine) cars sales. This means that automakers no longer need to sell as much electric cars as it was previously estimated to comply with emissions regulations this year.
For this reason in Germany:
Moreover, if there are government subsidies involved, they’ll incentive automakers to artificially inflate the prices. If automakers dropped the prices of their electric cars they would prove that the technology is already mature. This would result on a ban of polluting cars and automakers would also stop receiving subsidies to produce electric cars…
The good news is that not only Chinese automakers are about to arrive, but also Tesla will start the production of its electric cars in Germany next year. Therefore, there are good chances that next year not only Volkswagen but also other legacy automakers will sell more electric cars than what is strictly required to comply with EU emissions regulations.
Anyway, let’s see the press release.
Four weeks after the start of ordering for the limited ID.3 1ST for pre-bookers, Volkswagen is opening the ordering system to the public on July 20, 2020. Customers in many European countries will be able to choose from seven pre-configured ID.3 models at dealerships and to order the appropriate charging equipment at the same time. Buyers will benefit from attractive concessions for charging via WeCharge for up to 3 years. All seven ID.3 models will be eligible for the maximum state subsidy of €9,480 granted as an environmental bonus in Germany. Subsidies will also be available for the ID.3 in many other European countries.
“We are overwhelmed by the loyalty shown by so many pre-bookers. A large majority of these customers have already ordered their 1ST from dealers. Other customers, who have had to wait for the start of production sales, will now be able to order. From July 20, they can choose between seven preconfigured ID.3 models with the most popular features at their dealerships,” says Jürgen Stackmann, Volkswagen Brand Board Member for Sales.
Subject to local terms and conditions, all the ID.3 models that can be ordered from July 20 are eligible for subsidies in Germany as and also in other European countries. In Germany, customers can apply for the maximum environmental bonus for electric vehicles of a total of €9,480; €3,480 of this amount is borne by Volkswagen as the manufacturer.
“I am convinced that e-mobility will now make its breakthrough,” says Stackmann. Our model names like Family, Style, Tech and Tour already reveal that we will have the right ID.3 for everyone – at an attractive price. This way, we are realizing our vision of enabling emission free mobility for all.”
Life – Style – Business – Family – Tech – Max
These are six out of seven models which customers can order starting on July 20, available for delivery from October. They are based on the basic model ID.3 Pro Performance with a 58-kWh battery (net battery energy content) for a range of up to 420 km (WLTP02) with the 150 kW Performance rear-wheel-drive system. The drive system delivers a maximum torque of 310 Newton-meters for smooth acceleration from standstill to 60 km/h in just 3.4 seconds.
With delivery in October, customers will receive a free-of-charge update for the two outstanding digital functions AppConnect and the distance feature of the augmented reality head-up display for the “Tech” and “Max” models in the first quarter of 2021. All models delivered in the first quarter of 2021 will already be equipped with all functions.
Without optional equipment, the ID.3 ProPerformance costs €35,574.95. Depending on the customer group, the preconfigured models offer the most popular equipment packages. Each model has a navigation system for range-optimized navigation, Adaptive Cruise Control and the “Comfort” telephony function with inductive charging on board.
The ID.3 “Life” for €37,787.72 is intended for customers looking for an economical entry-level product without sacrificing comfort. The comfort package includes steering wheel heating, seat heating and two additional USB-C ports.
For customers who emphasize style, there is the “Style” model for €40,946.04 with the major design package including matrix LED headlamps, LED tail lights with dynamic swiping function, and panoramic glass roof.
A typical all-rounder is the ID.3 “Business” with the small design package including matrix LED headlamps and tinted windows, comfort package and assistant package with rear-view camera and the “Keyless Access” locking system for €41,287.22.
The ID.3 “Family” offers considerable space, light and convenience with the major design package including matrix LED headlamps and large panoramic glass roof, the major comfort package with 2-zone “Air Care” air conditioning system and the assistant package with rear-view camera and “Keyless Access” for €42,305.87.
Technology fans will be thrilled by augmented and assisted driving in the ID.3 “Tech”: with a major design package including matrix LED headlamps, major assistant package with Travel Assist, Side Assist and Emergency Assist as well as major infotainment package including Head-up Display and Premium Sound package for €43,680.32.
The ID.3 (Max) for €45,680.32 offers a maximum of design, technology, sport and comfort, with all the equipment packages, an electric 12-way massage seat, progressive steering and DCC (Dynamic Chassis Control) on board.
In addition to the seven pre-configured models, customers in Germany will also be able to order the two basic models ID.3 Pro Performance and ID.3 ProS, a four-seat model with a larger battery for a longer range.
Electric driving on long trips with the ID.3 “Tour” with a range up to 550km (WLTP)
The 7th preconfigured model “Tour” can also be ordered starting on July 20. It is based on the four-seat ProS model that allows for a bigger battery (77 kWh net battery energy content) with a range of up to 550 km (WLTP) and 125kW DC charging, starting at €40,936.31.
The ID.3 “Tour”, available for €48,432.44, is already equipped with all the features you would like to have on long journeys: Head-up Display and Sound package, matrix LED headlamps, comfort package, 12-way massage seat and assistant package with all driver assistance systems are all included, together with 19-inch aluminum wheels.
Seven carbon-neutral models
“The Zwickau plant is already ready for 100% e-mobility. For the ID.3, we are focusing production on the most popular battery variants and equipment levels. In addition, customers have a free choice of colors, exterior styling packages, wheel rims and interior equipment as well as other individual options such as a heat pump and the popular bicycle carrier preparation option,” says Thomas Ulbrich, Volkswagen Brand Board Member for E-Mobility. “Thanks to the use of renewable energy for vehicle and battery production, the ID.3 has a neutral carbon balance.”
VW Naturstrom for sustainable charging at home and We Charge concessions in Germany
In time for the series launch, German customers will be able to conclude a contract for the supply of Volkswagen Naturstrom ®. Volkswagen generally recommends the use of power from renewable sources to ensure that the carbon footprint of the ID.3 remains low in the utilization phase. A wide range of ID. chargers and an all-in installation service can also be ordered via Elli. All seven ID.3 models have the rapid charging function on board. Depending on their country, customers will benefit for up to 3 years of the concessionary ID. We Charge tariff at no additional cost with full access to public charging stations in Europe, including the IONITY rapid charging network. On this network, vehicles can be charged for 55ct/kWh at up to 100 or 125kW for the ProS. For frequent drivers, the IONITY tariff model with a monthly fee of less than €10 and an attractive price of 30ct/kWh is certainly worth considering.
Investing billions in democratizing e-mobility
Under its electric offensive, the Volkswagen brand is planning to offer electric vehicles in all of the main vehicle segments by 2022. Volkswagen is seeking to become the world market leader in e-mobility over the coming years and is therefore investing €33 billion throughout the Group up to 2024, €11 billion of which is earmarked for the Volkswagen brand alone. For 2025, the Volkswagen brand expects to produce 1.5 million electric cars.
The Pure entry-level model with a range of up to 330 km (WLTP) will be available at a price of less than €30,000 a few months later.
Volkswagen ID.3 configurator in Germany
While the prices for this year aren’t amazing, I have high hopes for the Volkswagen ID.3, as it seems to be a great electric car for the European market.
Next year we’ll be able to see its true potential with some possible price reductions across all models and the introduction of the entry-level model.
