Get 40% Off
🚀 Our AI Picked 6 Stocks that Jumped +25% in Q1. Which Picks Will Soar in Q2?Unlock full list

VW could build up to 50 million electric cars - Automotive News

Published 12/11/2018, 17:27
Updated 12/11/2018, 17:27
© Reuters. FILE PHOTO: FILE PHOTO: Diess, Volkswagen's new CEO, attends the Volkswagen Group's annual general meeting in Berlin

FRANKFURT (Reuters) - Volkswagen (DE:VOWG_p) could build up to 50 million electric cars on its new electric vehicle platform and is looking at expanding its manufacturing footprint in the United States, Chief Executive Herbert Diess told Automotive News.

"We set up the plant in Chattanooga always with the idea to be able to grow it, to mirror it," Diess was quoted as saying.

"The plant is still too small, and we are considering different options - it might be electric cars, it might be a different derivative of the Atlas (SUV) - it's still open."

Volkswagen (VW) and Ford (N:F) are looking at expanding cooperation, mainly in commercial vehicles, Diess added.

"What we're talking about is sharing a few platforms and manufacturing sites there, which makes sense. And within the dialogue, we are also touching other options, but this will be the main focus if we come to a conclusion."

Ford could help VW develop a global successor to the Amarok pickup, or a unibody pickup, Diess said.

VW is open to licensing its MEB electric car platform to third party manufacturers, he reiterated, explaining that was a way to ramp up economies of scale.

"Today, we have hundreds of different drivetrains in our industry, and there's a lot of differentiation in the drivetrain. I think this will become less, because the battery cells will become very similar on the basis of the same chemistry inside," Diess said.

He said VW could build 50 million electric vehicles globally across its brands, beginning in 2020, and had battery sourcing agreements for them. He said licensing MEB to other automakers would lead to further efficiency gains.

"It will be more about the economies of scale. Still, the battery pack, for the foreseeable future, will be more expensive than a combustion powertrain, so I think it makes a lot of sense to make more volume," Diess said.

A VW spokesman said the number mentioned by Diess was a theoretical long-term goal for the MEB electric car platform. The Volkswagen Group's current vehicle platform, MQB, has spawned around 50 million mainly combustion engine vehicles over several brands and many years, he said.

Volkswagen Group sold 10.7 million vehicles in 2017.

© Reuters. FILE PHOTO: FILE PHOTO: Diess, Volkswagen's new CEO, attends the Volkswagen Group's annual general meeting in Berlin

The German company is investing heavily in electric vehicles as it tries to rebuild its reputation following a scandal over rigged emissions tests of diesel engines in the United States that has cost it billions in fines and refits.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.