Volkswagen is going to increase investments in ‘future technologies’. Of the total development budget of € 150 billion for the next five years, just under half will go to EVs, hybrids and software. Volkswagen aims to have produced 26 million EVs by 2030.
By increasing investments, Volkswagen hopes to become the market leader not only in the field of EV, but also in the field of digitization. You should not only think of the interface in the car itself, but also technologies in the field of artificial intelligence and autonomous driving. Initially, Volkswagen had the plan to put 40 percent of the total budget into EVs, hybrids and digitization, but that percentage is now just under 50 percent. Over the next five years, the brand will invest € 35 billion in EVs, € 11 billion in hybrids and € 27 billion in digitalization. In total, this amounts to € 73 billion of the total € 150 billion to be spent. The largest increase is visible in the amount for digitization, which has doubled compared to the previous plan.
In any case, the ambitions do not lie. Volkswagen wants to have seventy EVs in the model range by 2030, divided over the various brands in the group’s portfolio. The number of hybrids should then be around sixty. However, the distribution of the money shows that Volkswagen sees significantly less benefit in hybrids than EVs. Where the brand wants to produce 7 million hybrids in the next ten years, the planned number of EVs is no less than 26 million. About 19 million cars of the total will be on the MEB platform, the remaining 7 million cars will be on the high-end PPE platform.
New models
There is more: Volkswagen says it will come up with a new SUV for the European market in 2024. In addition, it is converting existing factories. In Emden, where the Passat now rolls off the production line, the ID4 and from 2023 the ID Aero will be built. The production of the Passat moves to Slovakia around that time, where the Skoda Superb goes. In Hanover, Volkswagen will be building the ID Buzz in the future, along with three more all-electric SUVs for other makes in the group. Volkswagen has not yet announced which brands and models these are. In order to be able to supply all EVs with batteries, Volkswagen is building a new battery factory in Salzgitter together with the Swedish Northvolt. Enough to do in the near future, there in Wolfsburg.