HAMBURG: Volkswagen AG unveiled an affordable electric vehicle that’s a couple years away from production, putting Europe’s largest carmaker on a collision course with Tesla Inc.
"We are implementing the transformation at pace to bring electric mobility to the masses,” VW brand chief Thomas Schäfer said in a statement. On Tuesday, the manufacturer increased its rolling five-year spending plan some 13% to €180 billion , with more than two-thirds going to software and EVs. VW said the front-wheel drive vehicle takes design cues from the Polo, Golf and Beetle. The production version will be based on the new MEB Entry platform.With batteries remaining expensive and EV production still scaling up, cheap electric cars have mostly been limited to short-range mini models in China that are unlikely to catch on in most of the rest of the world.