Electronics and Semiconductors

Volkswagen to deliver 450,000 EVs this year

18 March 2021
The ID.4 electric vehicle will start to be delivered to customers in Europe this month and has already received 23,500 orders. Source: Volkswagen

Volkswagen is anticipating a big e-mobility push in 2021 with more than 450,000 electric vehicles (EVs) being delivered to customers in 2021, more than double the output in 2020.

Volkswagen invested some $3.2 billion in technologies in 2020 to push an electrified future as well as testing new subscription models and business models such as online vehicle sales that will begin this summer. The models will allow Volkswagen to ramp up e-mobility services in 2021 including a subscription model for the ID.3 EV in six German cities. These pilot projects will offer and test the acceptance of use-based billing and optional functions such as navigation services.

Volkswagen claims it will become the only volume manufacturer to provide over-the-air updates for the ID.3 and ID.4 every 12 weeks beginning this summer. Also beginning this week, Volkswagen will prepare key steps in the purchase of the ID.3 and ID.4 EVs online and then complete the purchase process at a local dealership.

Before March ends, the first ID.4 vehicles will be delivered to customers in European markets and Volkswagen has already received 23,500 orders for this model in Europe. The four-wheel drive ID.4 GTX, the ID.5 coupe and ID.6 X/CROZZ will be available for the Chinese market.

Additional models will be released this year due to rapidly increasing demand for EVs worldwide, Volkswagen said. Volkswagen is planning to deliver a total of some 300,000 fully electric models to customers this year as well as around 150,000 hybrids.

In the first two months of 2021, Volkswagen delivered 15,500 EVs — an increase of 51% compared to 2020 — and 16,300 hybrid vehicles, up 174% worldwide and 291% in Germany alone.

Electrified future

Volkswagen said it will continue to focus squarely on efficiency to finance the planned investments of $19 billion in electrification and digitalization by 2025. The company expects a sharp rise in deliveries in the coming year with the aim of a significant increase in sales revenue as a result.

Volkswagen’s push into electrification follows other major automotive OEMs deciding to sell primarily EVs in the next 10 to 15 years. General Motors made the decision in late January to phase out gas and diesel vehicles by 2035 and sell only EVs. Ford followed suit, saying it would look to a primarily electrified platform but said it won’t completely phase out combustion engines. Meanwhile, Volvo, Jaguar and Daimler have all said they will be primarily EV makers in the next decade.

Additionally, the Biden Administration vowed to transition all 645,000 government owned vehicles to electric models and will build 550,000 EV charging stations to accommodate the nation’s push to electrification.

To contact the author of this article, email PBrown@globalspec.com

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