VW starts breakthrough: Affordable electric cars from 20,000 euros!

VW starts breakthrough: Affordable electric cars from 20,000 euros!

A look at the future of mobility in Germany shows that Volkswagen (VW) is taking the initiative to regain a foothold in the market. The traditional automobile company is planning to bring a large number of new, affordable electric cars onto the market and is thereby specifically closing a rather unpopular gap. While sales figures were still stable in 2023, electric cars were hit by a massive decline in 2024 after the state environmental bonus was eliminated. In this tent between market developments and existing challenges, such as high manufacturing costs and tough competition from China, the topic of electromobility is becoming increasingly explosive. Loud Mercury VW is facing an existential crisis, which is being exacerbated by the emissions scandal and general market developments.

The plans are ambitious: VW wants to achieve 70% of sales in Europe with purely electric vehicles by 2030. In order to boost sales, the manufacturer is now offering discounts of up to 6,000 euros on certain models. If you observe the sales statistics, you will see that in May 2025 the VW ID.7 accounted for 7.3% of all newly registered electric cars, followed by the ID.3 and the Skoda Elroq. A clear strategy is emerging: From 2025, the Cupra Raval will come onto the market for around 25,000 euros, followed by other models that should also be priced accordingly.

The challenges in the electrical market

But not everything is rosy. The high price sensitivity in the German market is slowing down sales success. Loud daily news VW plans to offer cheaper models under 25,000 euros by 2025 so as not to miss the boat. The group is relying on a new platform that promises a 10% increase in range and efficiency. The cheapest electric car in the VW range, the e-Up!, currently starts at around 27,490 euros, while the ID.3 is only priced at 42,700 euros.

Market conditions are strongly influenced by the decline in electric cars. Deloitte predicts that sales in Germany could fall by a third. However, falling battery costs are a glimmer of hope that could promote the “democratization of e-mobility”. The upcoming EU guidelines, which from 2035 will only allow new cars with climate-neutral fuels, are also putting pressure on manufacturers.

The path to e-mobility

What are consumers doing in this turbulent environment? To make it easier to get started with e-mobility, models offer a wide variety: leasing options and subscriptions are becoming increasingly important. Against this background, it delivers ADAC Interesting insights: Electric car prices range from 20,000 euros for smaller vehicles to over 80,000 euros for premium models. It was found that only Dacia, the Spring Electric, has a model under 20,000 euros in its range.

Further support comes from the Merz government, which is planning a special depreciation for newly registered electric cars, which will apply retroactively from July 1, 2024. Companies that purchase a new electric car between June 30, 2025 and January 1, 2028 can benefit from this regulation.

In summary, it can be said that the electric car market in Germany is in constant change. Manufacturers must show creativity and flexibility in order to cope with increasingly tough competition and the pressure to comply with CO₂ values. Even though the electric car business is challenging in the transition phase, the hope remains that new, affordable models and technological progress will pave the way to a greener future.