Tesla Gets Its Edison? Volkswagen To Launch Affordable Electric Mini-SUV To Challenge Elon Musk’s Company

German automobile maker Volkswagen (VW) AG is planning to add a mini electric Sports Utility Vehicle (SUV), reports Livemint. As per the report, the mini-SUV would cost about $21,000 or about Rs 15 Lakh.

It is another addition of the all-electric I.D. range cars of Volkswagen which already include five zero-emission electric cars comprising of a hatchback, sedan, XUV, microbus/minivan and a race car.

As per reports, the mini-SUV will be a lot more affordable than the Tesla. The plan has not received final approval by Volkswagen supervisory board, but the entry-level electric car could reportedly be built at Volkswagen’s factory in Emden, Germany.

The electric car is set to go to sale only after 2020, and the company is expecting to sell about 2,00,000 units per year. The car will be a direct competition to Tesla Model 3, which will arrive in Europe in 2019. However, Volkswagen’s subcompact crossover will be more affordable than the $45,000 Tesla Model 3.

I.D Neo, a hatchback car, which goes to sale in 2020 will be first to be released in Volkswagen’s I.D range. The company has suggested the price tag of the car at around €23,000 (approximately 16 lakhs). It will be able to manufacture the car in half the time normally to assemble a hatchback, due to less complexity and fewer model variants.