Volkswagen is betting big on small electric cars. Get details on the anticipated ID.1 and ID.2all, their prices, launch and why they are being produced in Portugal and Spain.
Volkswagen is on the way with the long-awaited, cheap electric car Volkswagen ID.1. The target is a price below 150,000 Danish kroner. It will be followed by the slightly larger ID.2all, which also aims at a lower price segment.
However, customers will have to be patient. Volkswagen has confirmed that production of the ID.1 is not scheduled to start until September 2027. That's more than two years in the future.
The ID.1 will be a compact city car. It measures just 3.38 meters in length. This places it between the VW Up! and the VW Polo in terms of size.
Despite the compact exterior dimensions, interior space is expected to be comparable to that of the Polo, making it a potentially practical solution for city driving.
VW CEO Thomas Schaefer told his employees that the upcoming car will be cheap 'but of high quality'.
– The car will be an affordable, high-quality and profitable electric Volkswagen – from Europe to Europe.
VW ID.1 and ID.2all: production and prices
Before the ID.1 lands, the Volkswagen ID.2all will arrive. It is expected to be on the market as early as early 2026. It is described as a modern successor to the classic Beetle – a car for everyone.
The space in the ID.2all should be reminiscent of that in a Volkswagen Golf. However, the luggage compartment will be larger than in the Golf.
The price for the ID.2all is expected to be below 25,000 euros. This corresponds to approximately 187,500 Danish kroner.
Production of the ID.1 will take place at Volkswagen's plant in Palmela, Portugal. It will be the first electric car to be built at the Portuguese factory.
A major reason for choosing Portugal is lower production costs. It is cheaper than producing in Germany. This should help keep the price of the ID.1 below 20,000 euros, or approximately 149,000 Danish kroner.
Volkswagen's strategy for small electric cars
The larger ID.2all will be built elsewhere. Production of that model will be placed at Seat's factory outside Barcelona in Spain.
Volkswagen has set ambitious goals for the new small electric cars. The goal is to produce 100,000 cars per year of both the ID.1 and ID.2all.
In Denmark, Volkswagen gave a taste of the future. The ID.Every1 concept car was presented at an event in Brondby on May 3, 2025.
Sales of electric cars are increasing in Europe. The introduction of smaller and cheaper models in particular has accelerated the development. Volkswagen is now joining the fight in this segment.
With the ID.1 and ID.2all, Volkswagen is taking a full step into the market for more affordable electric cars. It will be exciting to follow the reception of the models.
Are you interested in more news about Volkswagen or other car brands? On Boosted.dk you can, for example, find the story that Europe's largest arms manufacturer wants to buy a VW factory that is threatened with closure. Read more here .
