Electric Cars: The Unfortunate Lack of Affordable Options in the U.S.
This week, Volkswagen gave us a glimpse of its upcoming electric car, the ID.Every1 concept. Priced at $21,500, this little hatchback boasts a futuristic cabin with a large touchscreen and a range of at least 150 miles on a single charge. What sets it apart is that it will be the first VW Group car to utilize Rivian’s underlying technology. However, there is one major downside – it doesn’t appear to be making its way to the United States, as VW states it is “from Europe for Europe.”
Unfortunately, this situation highlights a bigger issue in the American market – the lack of genuinely affordable electric vehicles. While concerns about charging infrastructure and range anxiety are valid, the primary concern for many mainstream consumers boils down to one question: What is the cost? Cheaper EV options do exist, but they are predominantly available in other regions such as Europe and China.
Just last month, Kia unveiled the Concept EV2, a budget-friendly electric crossover set to launch in Europe and other regions, with no confirmation for the U.S. Similarly, other charming and affordable EVs like the Fiat Grande Panda and Renault 5 are thriving in European markets, along with a plethora of inexpensive EVs in China that may never reach American shores due to various barriers.
The root cause of this disparity lies in the American automotive landscape, which favors larger, more expensive vehicles over compact, affordable options. The trend towards SUVs and trucks has led to the discontinuation of small cars like the Smart ForTwo and Fiat 500 in the U.S. market. Automakers are prioritizing profit margins by producing larger vehicles, which is not a sustainable strategy in the electric era where battery costs are a significant factor.
While there are some bright spots with affordable EVs like the Nissan Leaf and Chevrolet Equinox EV available in the U.S., the overall landscape still lacks truly budget-friendly options. Tesla has teased more affordable models, and Kia plans to introduce the EV3 crossover with a targeted starting price of around $35,000. As battery costs continue to decrease, the hope is that more affordable EVs will become accessible to American consumers.
In the meantime, one alternative for those seeking a cheap EV in the U.S. is to consider buying a used electric vehicle. Despite the current limitations, the future of affordable electric cars in the American market looks promising, with the potential for more options to become available in the coming years.
If you have any insights or tips related to the EV world, feel free to reach out to the author at Tim.Levin@InsideEVs.com.