The Volkswagen ID.3 is seeing a surge in demand following the automaker’s resolution to slash costs final month. The decrease ID.3 worth had a big influence this previous month, with gross sales rising over 300%.
Volkswagen ID.3 gross sales in China up 300% after worth cuts
In early June, Volkswagen minimize costs on its small ID.3 electrical automobile, providing a limited-time “traditionally low worth” deal.
The German automaker’s three way partnership with SAIC (SAIC-VW) slashed costs by 16%, leading to a brand new beginning worth of round 119,900 yuan ($16.6K) from 142,900 yuan ($19.8K).
The worth cuts are already having a drastic influence on VW’s gross sales within the area. In accordance with CarNewsChina, Volkswagen ID.3 gross sales climbed to 7,378 models in July, a whopping 305% enhance from the 1,819 models bought in June.
Not solely does it signify huge progress month-over-month, but it surely’s additionally the primary time the ID.3 has crossed 5,000 in month-to-month gross sales since launching in 2021.
The worth cuts got here after Volkswagen misplaced floor within the Chinese language promote it as soon as dominated. EV makers within the area, akin to BYD, Tesla, NIO, and others, proceed seeing larger demand.
At VW’s basic assembly in Might, shareholders had been fast to carry up the automaker’s lagging EV gross sales in China, the corporate’s largest market.
BYD surpassed VW within the first three months of the yr in passenger gross sales, extending its lead by June.
SAIC-VW presents two variations of the ID.3, the bottom model beginning at 119,900 yuan ($16.6K) and a higher-end trim for 149,900 yuan ($20.8K). The ID.3 is powered by a single rear electrical motor with 170 hp (125 kW) and 310 Nm peak torque. With a 57.3 kWh battery pack, the ID.3 has a 450 km (280 miles) CLTC vary.
Volkswagen’s EV lineup in China consists primarily of the ID.3, ID.4, and ID.6 electrical fashions. The automaker’s different EVs within the area didn’t expertise the identical surge in gross sales, with 4,031 ID.4 and 1,513 ID.6 fashions bought final month.
Electrek’s Take
After seeing the surge in ID.3 gross sales following the latest worth cuts, will VW do the identical with its different fashions within the area? Or, extra importantly, can they afford to?
The automaker faces stiff competitors, with fashions just like the BYD Dolphin and Yuan Plus EVs dominating the Chinese language market. The BYD Dolphin begins at 116,800 yuan ($16.2K), whereas the Yuan Plus goes for 134,000 yuan ($18.6K)
Regardless of the upper ID.3 gross sales, the mannequin was nonetheless far behind the Dolphin (21,800) and Yuan Plus (23,594) in July.