Renault, Volkswagen may team up to build affordable EVs

ABU DHABI: Cost is one of the biggest barriers restricting people from buying electric vehicles. According to the reports, Renault and Volkswagen are planning to collaborate to develop affordable entry-level electric vehicles. This collaboration aims to challenge the higher-priced electric models' dominance in the market, making emissions-free driving more common.

Volkswagen is planning to launch the ID.1, an affordable EV that will be offered at a starting price of around €20,000 (AED 79,324.38). Skoda will help develop a new architecture for this vehicle, but complete details have not been confirmed yet. However, VW ID.1's future remains uncertain amid the cost-cutting initiative undertaken by the company, including a 3-year program to save around €10 billion.

The upcoming Renault Twingo, estimated for production by 2026, will also be a budget-friendly city EV, particularly targeting the European market. Various strategies have been adopted for cost reduction, including prioritizing efficiency. The use of the Renault Group's Ampr Small platform, earlier known as CMF-BEV, will lead to additional cost savings through shared economies of scale with other upcoming EVs like the Renault 4, Renault 5, and Nissan Micra EV.

Renault Group chief Luca de Meo hinted at the chances of seeking an external partner to develop Twingo. He emphasized the ongoing discussions with OEM partners to share the costs involved in the development of the vehicle. The Twingo targets buyers who might gravitate towards Chinese cars by offering infotainment and technology features appealing to tech-savvy buyers.

Source: www.autocarindia.com

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