Volkswagen: Our Long Range EV To Be Up To $8,000 Cheaper Than The Tesla Model 3

JUL 15 2017 BY MARK KANE 70

Volkswagen representatives have decided to compare their upcoming, all-electric I.D. compact car (Golf sized) with the Tesla Model 3, and state it will have a significantly lower price tag…when it arrives in ~2020.

Tesla Model 3

Tesla Model 3

We are not sure whether the two models should be directly compared – other than the fact they are both long range EVs, they are both pretty unique, but Volkswagen doesn’t miss an opportunity to praise the I.D.

Dr. Thomas Sedran, Head of Group Strategy at Volkswagen Group, said at the Automobil Forum in Munich that the I.D. will be between $7,000 to $8,000 cheaper than Model 3, the Tesla is forecast to start at $35,000 – which would make the I.D. Concept $27,000 to $28,000.

This all of course assumes that Sedran is understanding the base price of the Model 3, and isn’t using Tesla CEO Elon Musk’s anticipated average selling estimate for the Model 3 at $42,000…if he is, that would make base pricing identical.

Elon Musk on average selling price of the Tesla Model 3 from debut party (@elonmusk)

Although we’d rather not see VW continually come at Tesla in the press (which seems a bit silly at the moment, given VW history of doing a lot of talking- but not a lot of selling in the EV space), it would be nice to see more affordable electric models hit the market.

With that said, the I.D. doesn’t launch until 2020, and who knows what the price of the Tesla Model 3 (or the legion of other long range EVs) will be at that point, pricing expectations could be adjusted down if the battery costs decrease and competition rises. Sedran expects VW’s battery costs to drop from €150-200/kWh to less than €100/kWh.

VW I.D. Quick specs:

  • 249 to 373 miles (400-600 km) – NEDC (so about 175 to 265 miles real world/EPA equivalent)
  • MEB platform
  • 125 kW motor
  • 0-62 mph (100 km/h) acceleration in less than 8 seconds


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70 Comments on "Volkswagen: Our Long Range EV To Be Up To $8,000 Cheaper Than The Tesla Model 3"

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Second sentence… “but Volkswagen doesn’t an opportunity to an opportunity to praise the I.D”

Might want to fix this. ;^)

What wrong is?

Wrong is not fun.

Counter example:

Thirty days hath Septumber, April, June, and no wonder! All the rest eat Grape Nuts, except Grandma, and she drives a new Buick.

Barking Dog VW is F O S
…………………PERIOD !

More tough talk from VW. It’s all hot air until they actually ship.

But they do have a point; low end EV (post subsidy about $15K) is missing from the picture now that iMiev and SparkEV are discontinued. Someone will fill this void.


Talk is cheap VW! Let’s see the EVs!

If the car isn’t due until 2020 then they ought to wait until 2019 to puff up their chests.

Perhaps the $7,000 – $8,000 they are talking about is the $7,500 federal subsidy that the TM3 won’t have in 2020.

iMev never was in the picture. The Smart might do pretty well now that it’s all EV and the prices have dropped. Sales of FFE have more than doubled since 2017 model came but the Fiat 500e sales also have been surprisingly good considering FCA doesn’t want to be in the electric vehicle business.

I don’t consider EV without DCFC as real cars, so 500e doesn’t qualify. But if it came with DCFC and sold cheaper, it’d be a great car.

FFE is about $20K post subsidy, so it competes with Chevy Cruze, Toyota Corolla level. What I mean is low end like Chevy Spark, Toyota Yaris.

I don’t consider a car with 48″ of front hip room and less than 100 miles of range to be a real car.

With the arrival of real mass market electric vehicles we don’t need to drone on endlessly about niche vehicle torture chambers for masochistic environmentalist.

Yes, this is a serious issue with a lot of these cars. I looked at the Fiat 500 EV from the outside, but didn’t even bother sitting inside. It was obviously way too small. That’s the problem with Spark EV too. It’s just too small for my tall family. No one can fit in the back seat behind me.

Part of the reason I ended up with the Leaf was precisely because it had plenty of space inside. Same goes for the e-Golf, to a lesser extent, and the Bolt EV is also fine. These microcars may serve a use for some people, but for my purposes the back seat would basically just be theoretical. I already had that experience with the original Honda Insight. Now I’m not going to settle for less than a real four person car.

SparkEV with DCFC is capable of 1000 miles a day. That’s why I don’t consider cars without DCFC as real cars.

As for hip room, I guess you don’t consider sports cars like Ferrari and Miatas as real cars, but most most people who have less than 4 ft wide hip will consider them very good cars.

I’ve owned a UK spec i-MiEV (a bit smaller than the US version and with a Peugeot badge) for 3 years now and it continues to delight me with its cheeky, ‘can-do’ character.

500 mile, (London to Oban, Scotland – with 14 DC rapid charging stops) journeys aside (or including, if that’s your game), it is still the best car I have owned in 40 years of driving.

So, it is a constant source of total bewilderment to me as to why Mitsubishi are not aggressively pushing it as a sub US$15k mass EV. It would be absolutely ideal as a city car/2nd car-runabout for any family, anywhere on the planet.

It’s nippy, fine for short motorway use, has good load carrying ability (with the back seats down it even has good volumetric capacity, too), all mod cons, cheap to run (even for an EV), has good safety features, will take 4 adults (with back seats up) and is just brilliant in every way. My only complaint? You can’t turn off creep.

Come on Mitsubishi! You are missing the most obvious market in history, here!

This is absolutely critical. The very high volumes and most critical need is in the sub $20k city car sector. These cars sell in huge numbers and also rack up the majority of urban miles as they are invariably used for daily commutes, which are, by the nature of commutes, mostly in urban areas where air pollution issues are crippling and literally killing people.

Also buyers of these cars are usually lower income people who will benefit the most from electrification of the vehicle fleet – lower running costs, fewer repair bills, and people most likely to benefit from a reduction in air pollution.

This is why I am very sad to see the Miev production end. It was the only genuinely affordable EV and should have been maintained and improved to stay relevent as the only true electric “city car”. If VW dropped the price of the E-up by a “mere” GBP£10k, it would be a good substitute… but no.

What void? The SparkEV only ever existed in California to begin with.

On the other hand, the world is chomping at the bit for a real, viable, cheap EV, and always has been. The only problem so far has been the “real, viable” part, as so many people still think they’re not ready for prime-time. It’s going to take quite some convincing to change those minds.

Seeing as the lead time is so great, there is plenty of time for dissembling.

According to “Cadillac Magazine” (in 2015), the future CT6 was to be available with a plug-in option that gave 400 hp (they mananged 458 hp), and 70 mile all electric range. Except the final CT6 phev goes 30 miles except AutoWeek couldn’t get any more than 22.6 miles.

Some difference. Therefore, the car is an expensive Joke. Apparently Dealers by me think so also since the nearest authorized one is in Michigan (I’m in buffalo) 380 miles away.

Seeing as VW is ‘That Paragon of Virtue’ lately, and they are always 3 years off on their biweekly pronouncements, I’m not holding my breath on anything they state 3 years before hand.

Their current winner of an EV for sale at VW dealers gets ‘up to’ 82 miles – presumably you are supposed to drive only on roads that go downhill.

82 is realistic. Though, for 2018 model year I expect at least 100 miles. For a second car or 200 miles for a single car.

Albeit, my wife and I have two sub 100 mile EVs. This has done well for us. I just expect Moore’s Law to bear fruit after 6 1/2 years of sub 100 mile EVs, Tesla excluded.

Yeah, my imaginary car, that will also never actually be released, will be $20,000 cheaper than yours, so take that VW!


Delivering the specs is always easier for the marketing team than the engineering team. 😀

Even the engineering team can promise the specs. I want to hear from the financing team to really say $27k is fine.


Well said, sir.

If the I.D. actually matchs those specs than it would be an appealing car.

Given Tesla’s focus on automation and their lead in battery tech it seems like a stretch to believe that VW knows something about making a car for roughly 75% of what Tesla has to spend. The good thing is that the charging infrastructure they are building is a pretty big incentive. You don’t spend that kind of money to build a compliance car

I am almost 100% sure VW knows how to build a car automatized.

It is a total myth that only Tesla focuses on automation. Or actively work on making their cars easy to manufacture.

The engineers working at Tesla were working somewhere else before and they didn’t just magically get a brain, once they switched to Tesla.

It’ll come out later, yes, it’ll be cheaper when it comes out. Will it be cheaper at the same time? Who knows?

With the rapidly changing price of battery packs comparing EV prices across time periods isn’t meaningful. Although to be fair Tesla took advantage of this way of getting hype for their car. And Chevy did too.

I agree. Coming out in 2020, the ID had better be $8000 cheaper. With lower battery costs by that point, I’d hope the Bolt is close to $30000 MSRP by then also.

How can you tell a VW/Audi/Porsche representative is lying? They are speaking.

Seriously, who cares what they say right now as they try to deflect away from Dieselgate? The level of outright lying while already caught is breathtaking. No one in the U.S. should be buying a VW/Audi/Porsche vehicle for years. This level of fraud needs to be punished.

> No one in the U.S. should be buying a VW/Audi/Porsche vehicle for years. This level of fraud needs to be punished.

I agree, but people have short memories. I used to admire the German brands, with the whole “German engineering”, and being of German descent myself, but now I see them for what they are, a bunch of liars that can’t be trusted.

Where are those fast chargers that VW is supposedly paying for?

Everyone has been caught cheating by now, give it a rest

It was punished. EVs are reaping the benefits of that punishment.

If VW is able to make a great EV at a great pricepoint why should consumers not reap the benifit?

VW leaders are not exactly known for their honesty…

Furthermore, in a Golf almost everything is an option, especially on the eGolf, so the “starting price” does not mean a lot…

I think GM would tell you how hard it is to compete with Tesla even if you have a car and they don’t, much less the converse.

It used to annoy me how hardcore many Tesla fans are, with the parallels to Apple/Jobs etc., but I’m starting to change my mind. The more other automakers trash talk without backing it up, and the more they talk about how many their going to sell, and how cheap they’re going to be, and how they are going to be available everywhere (but then magically their products turn into compliance pumpkins, if not vaporware) the more I drift into Tesla’s corner.

addendum: I get that it’s not easy, so shut your mouths and get to work! AND If you are going to milk your trucks and SUVs for every last dollar, don’t be surprised when you don’t survive the market disruption.

You have to keep in mind that big Oil owns the majority share of Diamler and VW.

UAE owns the largest share of Daimler (Mercedes Benz)

Qatar owns the largest share of Volkswagen (VW, Audi, Porsche)

If history taught us anything over the past 8 years, it’s how to tell when VW is lying. It’s easy to tell. If VW is speaking they’re lying.

Rich, those “largest shares” are actually not large – they are pretty small overall. And don’t be ridiculously publishing old news – Porsche has bought all investment “shares” back from Qatar. Big oil has nothing to do with those companies – get your facts right or don’t bother us with your drivel here.

Smart shoppers will compare 100KW charging access, to the reliability and speed of 50KW access. Saying “Long range” shouldn’t only be judged by an EPA sticker.

Tesla builds costs for its supercharger network into the prices for its cars. It’s one place ANY EV owner will tell you, “you get what you pay for”.

It’s easy to sell a car you don’t make yet for a magical price. I also have a luxury electric car I’ll be selling in 2020 for $10K.

For that $8,000 less will you get the same performance of sub 6 seconds to 60mph as the Model 3? Will you get a nationwide interstate network of 900+ DC fast chargers that charge at least at a 120 kW rate the day you pick up the keys from the dealer? To the first question who knows but if they follow the lead on their e-Golf then no. With the e-Golf they have shown they don’t want to outshine even the cheaper base model Golf S in performance. The e-Golf is 2 seconds slower at 9.6 seconds to the Golf S’s 7.8 seconds. But let’s say they decide to make their new EV for the masses as quick as the Golf S. That will still be lesser performing car than the sub 6 second Model 3. To the second question there is a growing network of CCS chargers but it is more of an un-unified patchwork that is nowhere near reaching the coverage across the interstates as the Supercharger network. And many of those CCSa chargers are still 50 kW limited. So for $8,000 less you will get an affordable capable EV albeit in a different and lesser class in… Read more »

philip: have you actually sat in an e-Golf? I Have, and I can assure you the quality of the car is way higher than what is going to be of the Tesla Model 3, judging from the quality of the Model S, which I’ve been subjected to as well. It is already full of features like a heat pump, directly heated windshield without blowers and such. The new 2017 e-Golf is a very nice handling, driving and ergonomic car with excellent visibility. Worth every penny. Don’t knock something you have no idea about.

I have to agree. The e-Golf has a very nice interior and overall is a pretty good car. It won’t be breaking any drag racing records, but that’s not really that important.

VW can make a good car, let’s see if they actually start doing so instead of just making announcements. 2020 is pretty damn far away.

They better ask $8,000 less. I look at the Model 3 and compare it to the VW Golf inspired design and just laugh.

By 2020, Tesla is going to be selling huge numbers of Model 3’s.

Style is just taste. The world has voted that they love the VW styling, especially the hatch. It’s a very American thing to prefer non-hatch.

Wake up, AlphaEdge, try to keep up. VW is not talking about the e-Golf in future price comparo versus Model 3. They are comparing the new I.D. long range EV. VW is stating this price because it takes 3-4 years of up front lead time to map out the next model’s expected pricing (which is the common practice of all manufacturers), and already know what their projected cost figures are. But if you know more about this than the largest car maker in the world, go right ahead with your show of pearls of wisdom (or lack of it).

Unclear how many will sell once the Federal tax credit and state rebates (where applicable) are fazed out. If the federal law stays as it is, Tesla will be without the tax credit Just as VW-Audi and others (Toyota, Honda, Ford, BMW, etc.) are entering the market in a real way.

There will be real political pressure to change (or just eliminate?) the law since Tesla and GM, (both U.S. based companies) will be losing the tax credit first…It will be interesting to see how this plays out.

Another Tesla killer that is “Just around the corner”.

That is the Longest and Widest “corner” ever maneuvered around, by any EV, EVer! Hard to EVen figure the inside line,so to speak!

Yeah, but which corner. Maybe this one that exists in a cartoon land and in song.

Tesla will deliver the millionth Tesla Model 3 in 2020.

What is needed from VW is much less talk, and much more action, regarding making and selling compelling EVs.

They have their best graphic arrests in the job as we speak.

Comparing the two cars, it would be surprising if a Model 3 is “only” 8000 more. I am not even sure I would accept to pay 25000 for a Golf type EV like the Volkswagen ID. It is smaller, has no supercharger network and lacks in performance and is no match on esthetics. It is more a competitor to the Renault Zoe or the Nissan Leaf, not to the Model 3.

We do have to wait for inventory, “waiting for delivery” EVs, to be compared and contrasted side by side. Sure, Model 3 deliveries will be through the roof for at least 12-18 months, but making comparisons of EVs, that can’t be purchased by non-reservation holders, is hardly even fair, or even a legitimate argument. We need debate that warrants further in depth analysis and questioning about vehicles that can be test driven, titled, and licensed by the average all 50 state consumer.

VW is talking like the late communist leaders of the GDR concering economics compared to the “West”: “Überholen, ohne Einzuholen” (Overtaking without catching up). Worked perfectly with the GDR 😉

And I suppose VW should be talking like Tesla instead, and continue to promise their shareholders a profit (you know, as in overtaking GM and BMW in stock valuation, but without catching up in profitability)? Which insignificant school of economics did you flunk from?

Tesla’s shareholders are not behaving differently than those of Amazon and Google. Whether they keep expecting profit around the next corner or are patiently waiting for a bigger payoff in the distant future, or most likely of all, just speculators waiting for the right time to flip. None of that is unusual in the permanent speculative bubble of American economics.

Yes so true, by the time you option it up to the same level Model 3 etc. Exactly how cheap will the new VW be? Don’t forget VW legendary expensive rip off dealer labor and parts pricing and any saving if any will quickly evaporate like a mirage of honesty 😉 Good to know Tesla is going good looking at all the management hot air and flatulence rising at VW. VW will only tow the line when they are mandated – like in Communist China.

I’m not sure why VW compare the car to Tesla – other then that Tesla is the number on EV maker in the market. VW (and the other German car manufacturers) invest large sums of money on EVs when it comes to design, technology, partnerships, scalability, platform shareing and automation/industrialisation. I work for a company that deliver some minor parts for automation/industrialisation and we’re experiencing a gold rush, getting orders from all the German manufacturers. We’ve had a visit from Audi with a prototype of a upcoming car – and the technology was impressive. We’re going to deliver a minor part of the wireless charging technology the VW group (and maybe Mercedes) will feature it in some of their cars. Audi had a prototype showing the wireless charging in use, and it was nice and just as easy as the wireless phone charging I have in my Hyundai. The charging system is placed in the parking lot, and you just place the car just over it. The charging will start to charge automatically. Will work in the snow as well. They can even place them in a fast food drive in, and the car will get a boost in just… Read more »

I believe personally VW should be given an extra hard time as it mis lead consumers on the green / environmental aspect of the so called clean diesel – which in highly populated cities is causing unnecessary deaths of citizens. As to R&D & electric – yes they have invested a lot (via tax breaks) but have FAILED to deliver anything substantial thus far. VW group only deliver when mandated by Communist China / Californian Rules & now French desire of an EV future. VW is known for much R&D – but also for LACK OF DELIVERY in real products consumers can buy. It is like a big ship with broken communication from the Captains helm to the rudder. But we will see when and if they deliver anything substantial or surprising.

You missed the word miss, in the sentence Volkswagen does not (miss) an opportunity.
(2nd paragraph)

Heeh ok, that is a little funny – thanks for the heads-up ffbj!

Cheap cars do not sell that well, because often cheap means also low quality and lack of optional equipments such as advanced autopilot, AWD and Ludicrous acceleration.

Therefore, “cheap” is not very good selling argument. Electric cars are capital intensive cars that have ultra low maintenance costs. With this kind of cost structure, it makes more sense to have highly equipped car and low interest rates for twelve year financing plan.


VW is the EV leader in the world, this is the 15 imaginary model they launch to the market. Go VW?…

Agree VW is as usual smoking Crack or at least a clean diesel exhaust and hallucinating! Real product when – oh please this is getting so old it ain’t even funny anymore 😉

By the time this vehicle is released Tesla will have already sold over a million copies of the Tesla 3, so I doubt Elon Musk is shaking in his electric boots.

I think they are comparing themselfes by the average sellingprice quoted by Musk: 42.000$.

Vor they are reffering to the fact that the incentive for Tesla will outfade far sooner fir Tesla than for VW. That is a 7.500$ bonus.

either way it doesn’t says anything about VW building cheap EVs. It’s more about going on as before.

Until it’s on showroom floors on Pennsylvania, it’s just vaporware.

Given the various articles about BEVs reaching price parity with ICE by 2020 this doesn’t seem like much of a stretch. If VW builds a $25K ICE equivalent BEV (basically a mid-spec Golf) then yeah they could be $10K less then the M3 by 2020. But to me, this isn’t really any different than them saying a mid-range Golf will be $10K cheaper than a BMW 3 series. Now if VW claimed they were going to build a M3 *equivalent* car for $10K less in 2020 that might be worth paying attention long enough to question how they would pull that off without a solid plan for matching Tesla’s battery costs.