mobile-menu-icon
Ford Authority

VW Group Will Spend $7 Billion On 25 EVs For North America By 2030

A number of automakers are currently rolling out major electrification plans, including both Ford and Volkswagen, which forged a new partnership in 2020 that will spawn a number of new vehicles, including two Ford EV crossovers built on VW’s MEB platform and a new Volkswagen Amarok (and possibly an Audi pickup) based on the next-generation Ford Ranger. Ford and VW aren’t alone in this regard, as General Motors, Stellantis, Toyota, Honda, and Renault/Nissan have all recently embarked on ambitious EV plans involving major investments. Now, on the heels of ramping up its EV plans in Europe, Volkswagen has announced that it will spend a total of $7.1 billion to launch 25 new all-electric vehicles in North America by 2030.

VW aims to achieve a 55 percent EV sales mix in North America by that same date as it works to phase out the sale of internal combustion-powered vehicles. The automaker’s EV lineup in that region already includes the ID.4 crossover, which will soon be joined by the recently-revealed ID. Buzz van, which is expected to launch in North America in 2024, as well as “new electric SUVs” following in 2026.

Volkswagen aims to achieve this transition by fortifying its North American plants, starting with Chattanooga, Tennesse, which is currently being retooled to produce EVs, starting with the ID.4 this year. Additionally, VW will convert its Puebla and Silao, Mexico plants to assemble EVs, e-motors, and other electric vehicle components by the middle of the decade.

In addition to these moves, VW has invested over $2.7 billion in North American supplier relationships including SK Innovation for battery production, which has already teamed up with Ford to create the EV battery joint venture, BlueOvalSK. The automaker will also test and validate batteries at its Chattanooga plant beginning in May its the new Battery Engineering Lab (BEL).

In spite of these moves and Ford’s partnership with VW, CEO Jim Farley previously called the German automaker a “major threat” in the EV segment as The Blue Oval plans to eventually convert its entire North American lineup to EVs as well, though it hasn’t yet set a date for when it expects that to happen.

We’ll have more on everything Ford’s competition is up to soon, so be sure and subscribe to Ford Authority for around-the-clock Ford news coverage.

Brett's lost track of all the Fords he's owned over the years and how much he's spent modifying them, but his current money pits include an S550 Mustang and 13th gen F-150.

Subscribe to Ford Authority

For around-the-clock Ford news coverage

We'll send you one email per day with the latest Ford updates. It's totally free.

Comments

  1. Joe

    Maybe in Europe where small cars rule and gas prices are crushing, the EVS will sell well in the richer countries. They will have to put some kind of mileage tax on these cars and trucks as they will lose their fuel taxes which are much higher than in the states. In the US, they won’t meet their goals, people will still drive to far, tow, don’t have a garge for charging, and the income to buy one.

    Reply
  2. NCEcoBoost

    Another bad decision if this is about the US – to add to the list of many bad decisions by manufacturers of late.

    Reply
  3. Tigger

    Love the far-away plans and predictions. By the time 2030 gets here the ones who made them will be long gone.

    Reply
  4. David Dickinson

    Germany just announced today that their producer prices rose 26% in a single year, and they continue to rise. Anything people say about 2030 is out the window as reality is going to bite them in the backside.

    Reply

Leave a comment

Cancel