FRANKFURT, Germany ― German auto giant Volkswagen on Tuesday announced plans for a cheaper-than-ever electric model, as it faces increasingly strong competition from Asian rivals that have taken a lead in battery technology.The new model, which would be priced at around 20,000 euros and be presented in 2027, would offer 'entry-level electric mobility from Europe for Europe,' VW CEO Oliver Blume said in a statement.
But Volkswagen is making slow progress on electric vehicles amid weak demand and increasing competition from abroad, especially from homegrown carmakers in its biggest market, China.Cheaper Chinese models are not just a concern for Europe's biggest auto manufacturer but also for European officials.Brussels last year angered Beijing after launching an anti-subsidy investigation into Chinese electric cars that would represent unfair competition to domestic European manufacturers.