Why did you decide to change the design of your small EV from the retro look of the VW Life concept that appeared in 2021 to the more familiar looks that the ID2all concept has?
The previous vehicle design was created at a time when people really wanted to be different and to reinvent Volkswagen, so to speak. That may have been right at a time when cars with combustion engines and EVs run in parallel. But then we have asked ourselves: What will characterize a VW in the future and how is this reflected in the design? Our new head of design, Andreas Mindt, put it in a nutshell: stability, likeability and excitement. It’s also about precision, clean lines and top quality.
Automakers have done well selling higher-specced vehicles in the last few months. Can you go higher with the production version of the ID2?
Andy [Mindt] is already speaking about a GTI version. We can move up the price ladder with various models. What we are definitely not going to do is repeat what we did in the past and sell a confusing amount of variants.
Is the ID2 in actually the new Polo?
I wouldn’t categorically say no, but at the moment it’s not the preferred choice. The question is: What will the Polo cost after Euro 7 [emissions regulations] take effect? We don’t know yet. If you look at what the European Union posted about Euro 7 last November, then smaller combustion engine vehicles will become prohibitively expensive. At the moment, you can buy a Polo with a manual gearbox and 1.0-liter engine, but under Euro 7, this would be not be possible anymore. You need an automatic gearbox and you need hybridization. The future of Polo depends on the outcome of Euro 7.
Do you think the European Commission will backtrack on some of the most expensive aspects of Euro 7?
We had lots of discussion through the VDA and so on, and I must say there were a lot of misunderstandings. In the engagements we’ve had recently, I got the feeling there is an amicable solution on the horizon. I hope so. We would rather put our money into electrification during the final years of the combustion engine than make a final version of it that is prohibitively expensive.
When do you plan to start sales of a sub-20,000 euro electric car?
It has to come by 2026-27 at the latest. This [an EV at that price] is the real Champions League. For VW, it is almost an obligation for us to get this right. We have to make a car that is affordable. This is not a something that you can solve quickly without making compromises on the values of our brands.
Would this car also use the MEB Entry platform?
Probably not. Partnering could be an option, but given the scale we have we will probably do it ourselves. We’re looking at a couple of options at the moment. It’s too early to say. It’s different terrain, especially if you still want to make money
How do you make money on a cheap electric car?
Either you solve the riddle with scale, downsize the battery, or you find a partner and scale it even more. It’s not clear yet. We have four working streams in parallel at the moment.
Until the 20,000 euro car arrives, the e-Up is your entry EV. How long will you continue to build it?
Unfortunately, it will be discontinued in mid-2024 because of the new UNECE rules for cybersecurity. To keep it in production we would have had to integrate a completely new electronic architecture. That would be too expensive. So, it’s better to develop a new car right away.
Who is leading the development of the 20,000-euro car?
VW brand with Skoda. It’s a joint project, but it is one of the working streams that Skoda is leading. We are looking at other regions to see if it’s possible in those regions.
Which region is Skoda leading? You’ve said not China, so India?
For example.
