As electric cars continue to grow in popularity, purchase costs are beginning to become more on par with ICE vehicles - especially in Europe, where gas cars are becoming increasingly penalized. In some cases, electric cars are significantly cheaper than their ICE alternatives. A Porsche Taycan, for example, costs roughly half as much as a Panamera in Norway. Meanwhile, in France, a BMW i4 M50 is 35% cheaper than a less powerful M3 or M4.
That said, on the lower end of things EVs are still considerably more than equivalent gas cars. In Germany, a Volkswagen ID.3 will set you back at least €38,000 meanwhile a well-equipped Golf can be had for €8,000 less. In the US, the Chevy Bolt EUV retails for $28,195 (which may sound pretty affordable but it's important to note the larger ICE Trailblazer is around $7,000 cheaper).
So, why is it that entry-level EVs remain more expensive than their combustion-engine equivalents? Honda's Vice President of Business and Sales for America, Dave Gardner, was recently quizzed on the matter and stated the following (via The Drive):
"We [Honda] don't really believe that the current lithium-ion technology is the long-term solution. Solid-State batteries are going to be the game changer for us."
Mr. Gardner believes solid-state batteries will enable entry-level EVs to be priced "in the neighborhood of what a nice [ICE] vehicle costs." However, he also admitted that solid-state batteries are still a while away and won't be used on the brand's upcoming Prologue crossover. That said, Honda is committed to the development of solid-state batteries and recently announced a $310 million investment in the area.
Honda's first mass-production EV, the E city car, hasn't been a great success from a sales perspective. Only 3,752 were sold in Europe last year, despite targeted sales of around 10,000 units. The E has received plenty of praise for its funky design and tech-laden interior, however its poor range of 135 miles and €30k+ price has drawn criticism from many. Undoubtedly, Honda will be hoping its upcoming Prologue electric crossover will sell better - even if it costs consumers more than a similarly equipped CRV.