The US-made 2023 Volkswagen ID.4 will start at $37,495 - The Verge
VW announced that the 2023 ID.4 electric crossover SUV will start at $37,495, making it one of the more affordable EVs on the market today.
Volkswagen announced that the 2023 ID.4 electric crossover SUV, which the automaker just started producing at its factory in Chattanooga, Tennessee, will start at the suggested price of $37,495 — making it one of the more affordable plug-in crossovers on the market today.
Combined with the federal EV tax credit of $7,500 — which may be renewed under the Senate Democrat’s new reconciliation package that’s currently under debate — the ID.4’s price could come down even more.
The ID.4 is VW’s most popular EV, having delivered 190,000 vehicles to customers globally since its release in 2021. VW CEO Herbert Diess, who is stepping down in September, said in May 2022 that the company was “basically sold out on electric vehicles in Europe and in the United States” for the year.
Localizing the ID.4’s production in the US was supposed to unlock a cheaper price for the EV. (When it first went into production in Germany in 2021, the base model ID.4 came with a suggested price of $41,230.) Originally, the automaker had said it wanted its US-made ID.4s to start at $35,000 — or $27,500 with the federal tax credit.
The more expensive price announced today is a reflection of the fact that EV production, including the sourcing of battery materials, is much pricier than it was four years ago. The average cost of raw materials — including the cobalt, nickel, and lithium needed to make EV batteries — is now around $8,255 per vehicle, researchers say.