Volkswagen’s planned small electric car, priced around 20,000 euros, will not have a twin model from Skoda, according to a spokesperson for the “Spiegel”. Although Skoda is not participating in the project, the company plans to expand its electric vehicle offerings, the spokesperson said.
In the case of the e-Up’s predecessor, the VW e-Up had variants from Skoda (Citigo e iV) and Seat (Mii electric). The small electric cars were popular with customers, but a loss-maker for Volkswagen, with the company reportedly incurring a loss of nearly 10,000 euros for every sold model.
Skoda’s technical developers had initially sought to take the lead in the development of the new car, but the contract went to VW instead. Skoda is said to have feared losses with the small car, which is why the Czech company is leaving the project to its German sister brand, which charges higher prices for its models.
VW is also only expecting a few hundred euros in profit per unit with the mini-stromer, which is set to go into production in 2027. To make this possible, the small electric car will be the first VW to benefit from the partnership with US startup Rivian. The new electronic architecture being developed with Rivian is expected to reduce the number of control units in the car and thus its costs.