Volkswagen will offer a cheaper version of its ID.4 all-electric compact SUV that comes equipped with a smaller battery pack, a move aimed at attracting customers as inflationary pressures drive up car prices.
Volkswagen of America said Thursday it will sell three variants of the 2023 ID.4, including a base model with a smaller 62 kWh battery that starts at $37,495 before federal tax credits (not including the destination charge of $1295). The base model, called Standard Equipment, is around 6% lower than the equivalent trim level of the 2021 ID.4 debut model.
2023 The ID.4 is now being assembled at the automaker Factor Chattanooga, Tennesseey, which has helped the automaker cut prices even as it improves some of the interior and exterior features. For example, all versions of the ID.4 SUV will come standard with a 12-inch touchscreen display – a size that was originally only standard on the limited run of its first edition.
Image Credits: Volkswagen
The reduced price of the ID.4 is at odds with what almost every other automaker – including Volkswagen for its other models – is doing in 2022, as supply chain constraints and inflationary pressures have prompted companies to raise prices.
Tesla, for example, raised prices in June on some models price increase up to $6,000. Rivian has too raised prices of its two debut models, the R1T electric pickup and the R1S SUV. GM, Ford and even the VW Group have raised prices across their portfolio.
Stellantis CEO Carlos Tarvares said during the company’s second-quarter earnings call that the industry was in a “sweet spot” where shortages of semiconductor chips and other parts hurt production, but strong demand allowed automotive producers to charge more. He warned that it might end.
A few highlights of the VW ID.4
Volkswagen has added other features to the 2023 model year of its all-electric compact SUV, including new colors, a refreshed exterior, an improved center console and aluminum alloy wheels. Notably, it made the previous options standard on the ID.4, including a park assist function and 45w USB-C charging ports.
The company will offer the ID.4 in three trim levels: standard/professional, S and S Plus with a choice of 62 kWh or 82 kWh batteries and rear- or all-wheel drive.
Volkswagen estimates that its cheapest base model, a rear-wheel drive vehicle powered by a single permanent magnet synchronous motor and a 62 kWh battery, has a range of 208 miles. A few more features and upgrades to highlight on the standard model include new dash stitching, fabric and leatherette side bolsters on the seats that replace the previous model’s basic cloth upholstery.
Image Credits: Volkswagen
Moving up, the rear-wheel-drive ID.4 Pro, which has an 82 kWh battery and an estimated range of 275 miles starts at $42,495. The all-wheel-drive version, which can travel approximately 255 miles on a single charge, starts at $46,295 (Again, these prices do not include the added destination charge or a price reduction of $7,500 federal tax credit.)
The company said both of these versions have increased DC fast charging capacity of 170kW.
The ID.4 S, which starts at $42,495, adds other upgraded features like leatherette inserts, 12-way power seats, heated steering wheel, panoramic fixed glass roof with power sunroof, power tailgate, premium LED headlights and 20-inch aluminum -alloy wheels.
Finally, the ID.4 Pro S Plus has a base price of $50,195 and the ID.4 AWD Pros S Plus from $53,995. This trim adds “unique” 20-inch wheels; power folding door mirrors with accent lighting, painted black roof with silver roof accents and silver roof rails, silver front and rear bumper accents.
Importantly, all kits feature plug&charge functionality, a feature that allows drivers to plug into an Electrify America charging station and simply plug it into the charger without having to use a credit card, app or dongle to initiate the charging. Volkswagen is still offering new owners three years of 30-minute DC fast charging sessions at Electrify America stations. Electrify America is a subsidiary of the VW Group and was launched as part of the automaker’s settlement with the US government over the diesel emissions scandal.
The automaker’s advanced IQ.Drive driver assistance system, which requires the driver’s hands to remain on the wheel, also comes standard now on all trims. When the system is activated, it will accelerate or brake to maintain a selected following distance from a vehicle in front, keep the vehicle in lane and recognize traffic signs. The company has also added a feature that can recognize cyclists.
The 2023 ID.4 is expected to reach dealers in the fall.