The German auto giant and the largest car maker of the world Volkswagen is set to achieve production of its millionth battery electric vehicle two years before the time that the company had set for itself, according to the forecasts of the company. Analysts said that this was a clear evidence of the positive result of the push of the company into electric cars.
The Wolfsburg, German-based car manufacturer said that 1m battery-only cars will be churned out by the end of 2023 by the core Volkswagen brand. The company expects to increase that number to 1.5m by the end of 2025.
The company manufactured 50,000 electric cars in 2018 and so far this year, it has produced more than 70,000 electric cars. Since 2013, it had produced 250,000 electrified vehicles (including fossil fuel-driven hybrids), said the company which has produced 10.8m cars in 2018.
There is regulatory pressure on the car makers of Europe and beyond, including Volkswagen, to increase the number of electric cars for sale in the European Union. New regulations in the EU set to go into force from January 1 mandate heavy penalties for auto companies over charges of excessive green house gas emissions. The aim of the new regulations is to reduce the average carbon dioxide tailpipe emissions to below 95g per km that get emitted from new cars sold in the EU.
Volkswagen has also been pushed into increasing its focus on electric cars because of the out Dieselgate scandal in which the company was found to be cheating diesel emissions tests for its cars in the United States, Europe and at other places in the world.
By the next year, eight new models of electric cars all across its range of brands, including the likes of Audi, Seat and Skoda, will be released by the Volkswagen group. The company is anticipating that Volkswagen ID.3 cars that are aimed for the mass market and churned out of its factory in Zwickau, East Germany, will be able to meet the targets of the company. Volkswagen targets to manufacture 330,000 of those vehicles annually by 2021.
With a vase price of less than €30,000, the ID.3 will have a travelling range of between 205 and 340 miles on a single charge, depending on the model.
“2020 will be a key year for the transformation of Volkswagen. With the market launch of the ID.3 and other attractive models in the ID family, our electric offensive will also become visible on the roads,” said Thomas Ulbrich, the Volkswagen brand board member responsible for electric cars.
Analysts expect the company to face stringent emission rules in markets all over the world and thus be under pressure in such markets even though the EU is the main market for Volkswagen.
(Adapted from TheGuardian.com)