Does the VW ID 1 Mark Genuine Progress?
There’s much to admire about the Volkswagen ID 1. In a market where vehicles seem to relentlessly grow in size, the ID 1 promises to be a compact city car with an appealing design. The fact that a major car manufacturer is focusing on the A-segment is certainly something to celebrate.
However, a significant concern looms: With a stated range of “at least” 155 miles, the ID 1 could be launched in 2027 with a similar range to the later versions of its predecessor, the e-Up. This raises questions about whether it truly represents progress.
To be fair, Volkswagen is promising that the ID 1 will be larger, more practical, more powerful, and approximately £3,000 cheaper than a new e-Up would have cost in 2023 (and the e-Up benefited from a government grant). These are considerable advancements and were not easily achieved. Yet, it underscores the considerable challenges in creating affordable electric vehicles.
EV batteries are slowly becoming less expensive, but they remain the most costly component in a new EV. Volkswagen was determined to hit its €20,000 (£17,000) price point for the ID 1, and the most effective way to do so was to reduce the battery size to suit its intended urban usage.
The challenge lies in requiring buyers to accept a potentially less-than-ideal compromise. A range of 155 miles could be adequate for daily use, but what about those occasional weekend trips?
Historical data suggests buyers are reluctant to compromise when it comes to their primary vehicle.
It is concerning that, like the Renault Zoe, Nissan Leaf, and e-Up during the early days of mass-market EVs about a decade ago, the ID 1 and Dacia Spring could find success as budget second cars – a daily vehicle that allows owners to keep their larger, more luxurious vehicle for weekends. This could mean that instead of expanding access to electric mobility, the new wave of affordable EVs may primarily benefit more affluent buyers who can afford two cars. Budget-conscious single-car owners unwilling to compromise may opt to stay with gasoline vehicles.
None of this is Volkswagen’s fault: it can produce cheaper EVs, but it can’t control who buys them. And in an era when many competitors have abandoned smaller, more affordable cars, credit is due for persevering in a category that is no longer a significant profit driver.
This situation is a reminder that making truly usable everyday EVs that are genuinely affordable is a long-term project – and that, currently, even the move towards affordable EVs carries the risk of benefiting those who are financially better off.
