Volkswagen plans a lower-cost electric car the size of a Polo

BERLIN – Volkswagen is bringing forward the introduction of a little electric car for that mass market awaiting tougher climate regulations, based on plans seen by Reuters, as it seeks to enhance sales inside a new green era.

Under the work dubbed “Small BEV (Battery Electric Vehicle)”, engineers are racing to build up a purely-battery powered car round the size a Polo which is available for between 20,000 and 25,000 euros ($24,000-30,000).

This would make it cheaper than Volkswagen’s ID.3 electric car, which continued sale in September.

Volkswagen did not provide details on exactly what the vehicle might look like, when it might be launched or where it may be built.

The carmaker has stated the European Union’s tighter emissions targets will force it to boost the proportion of hybrid and electric vehicles in its European car sales to 60% by 2030, up from a previous target of 40%.

Earlier this month, it raised its planned investment on digital and electric vehicle technologies to 73 billion euros ($86 billion) over the next five years, which around 35 billion will be committed to e-mobility.

The VW brand currently plans to build 1.5 million planet by 2025.