VW prices ID4 electric crossover launch edition below Tesla rival

FRANKFURT -- Volkswagen will price the first production run of its ID4 full-electric crossover below its rival, the Tesla Model Y.

In Germany, the ID4 launch edition, called the ID4 1st, will start at 49,950 euros ($58,896) excluding subsidies. The Model Y starts at 58,620 euros. VW will limit production of the launch edition to 27,000 units. 

The ID4 starts the global rollout of cars built on VW Group's mass-market MEB electric platform. It follows the ID3 compact hatchback, which is currently being launched in Europe.

Unlike the Europe-focused ID3, the ID4 will be a global model, with the U.S. and China as key markets.

The ID4's launch is even more essential to the success of VW's electric-car push because it targets the hot crossover segment.

VW brand CEO Ralf Brandstätter said the ID4 opens the door to a high-volume segment, and his management team forecasts output to hit half a million units annually by 2025 -- a third of the anticipated production of the ID family.

"The ID4 will take on a central role as the brand's first fully electric SUV and the new global car from Volkswagen," he told reporters during a briefing ahead of the car's unveiling on Wednesday. "It will be delivered to customers before the end of this year."

VW last month began production of the ID4 in Zwickau, Germany, where the ID3 is also built. ID4 production will start this year at VW's plants in Anting and Foshan, China. U.S. production in Chattanooga, Tennessee, is slated to being in 2022.

VW said the ID4 would also arrive fully functional, in comparison to the ID3 that will require the first owners to take their vehicles to an authorized mechanic for a software update.

Much of the ID4 is common with the ID3 because they both share the MEB architecture for compact and midsize EVs.

The ID4 launch edition has a 77-kilowatt-hour battery pack and a rear-mounted electric motor with a 150 kilowatt output, equivalent to 201 hp. The electric motor is positioned over the rear axle.

The range of the ID4 1st is expected to be 520 km (323 miles) under Europe's WLTP testing standard, less than the ID3’s 549 km, limited in part because of the higher roof and slightly worse aerodynamics that are natural tradeoffs in SUVs and crossovers compared with hatchbacks due to their taller stance. VW declined to provide an estimated EPA range relevant for the U.S. market.

The ID4's top speed is a 160 kph (99 mph), relatively slow for VW customers used to Germany high-speed autobahn network. It accelerates from 0 to 100 kph (62 mph) in 8.5 seconds.

VW is betting the slightly higher range than the Model Y's 505 km in the standard version and the more affordable price tag will be strong arguments over the Model Y that is both quicker in the sprint and faster overall.

The ID4 has 20-inch wheels as standard, a size not found even on VW's Touareg midsize SUV in its base version. Nevertheless, the ID4's turning radius is just 10.2 meters (34 feet). 

When hooked to a fast charger capable of providing a load of 125 kW, the vehicle can travel another 320 km after about 30 minutes of charging.

The ID4's battery pack is composed of 12 modules, each consisting of 24 pouch cells, and weighs 493 kg (1,087 pounds).

VW guarantees that the battery will still have at least 70 percent of its original capacity after eight years or 160,000 km of driving.

While the ID4 is largely based on the ID3, it does offer SUV-specific features such as a 21-cm ground clearance, roof rails and a towing bracket for hitching trailers weighing up to 1,000 kg (2,204 lbs).

Customers will also be able to order the "Max" version for 59,950 euros. This includes extras such as a panorama roof, an augmented-reality head-up display, its Level 2 partially automated Travel Assist feature, and LED matrix headlights for better visibility at night.

A VW brand spokesman said the base model when it debuts will be available for an as-yet-unspecified amount that will be significantly below 40,000 euros in Germany. The price does not include a 9,000-euro incentive available in Germany.

Once the 27,000 units of the ID4 1st are sold, the brand will then offer pre-configured models to reduce complexity and accelerate production output from its Zwickau EV plant.

Next year a more powerful, all-wheel-drive version will go on sale.

"The ID4 is guaranteed to draw EVs out of their niche existence, I believe," said Thomas Ulbrich, VW brand's board member for EV. "It has the potential to be a game changer."