VW has big ambitions to bring down EV costs, starting with the battery cells. To do so, the automaker looks to invest in mines as it looks to vertically integrate. Through PowerCo, VW plans to meet half of its own demand while selling to other automakers like Ford.
It’s been a busy month for Volkswagen, starting with the release of the upgraded ID 3 with improved design and features.
VW followed the new ID 3 up with its affordable EV concept, called the ID 2all. The ID 2all starts at less than $27,000 (€25,000) and features up to 279 miles range (450 km).
There have also been reports that the automaker is developing its smallest, cheapest EV model yet, likely to be called the ID 1 (or ID Polo) that will start around $20,000 and expected to arrive in 2027.
Both the ID 2all and ID 1 (or ID Polo if you will) take design elements from Volkswagen classics like the Beetle and Golf. To bring EV costs down, CEO of VW Passenger Cars, Thomas Shafer says, “It’s not an easy game” but with several teams working together, he adds:
That volume will help us to bring prices down to be competitive and also still make money.
Shafer is referring to using its economies of scale as an advantage to drive volume and bring down costs.
VW signed an agreement with Canada last year to aquire raw materials needed for EV batteries as it moved to qualify for the US tax credit.
However, with the battery being the most expensive component in an EV, the automaker has a plan to overcome this, by going straight to the source, according to a new report from Reuters.
Volkswagen ID 2all concept (Source: VW)
VW eyes mining investment to bring down EV costs
Earlier this week, Volkswagen announced it had officially selected St. Thomas, Ontario, as home for its first North American Powerco EV battery plant.
Volkswagen chose Ontario, Canada for its access to abundant raw materials and clean energy. Now, the company looks to take it a step further with plans to invest in mines to vertically align its business and bring EV battery costs down.
According to the automaker’s board member in charge of technology, Thomas Schmall, VW looks meet half of its own demand with the cells and will also sell to third-parties, including Ford, adding:
The bottleneck for raw materials is mining capacity – that’s why we need to invest in mines directly.
The board member says Powerco will begin delivering battery cells to Ford to help the automaker build 1.2 million vehicles on its MEB platform.
GM is another automaker looking to grab a mining investment, with reports suggesting a possible stake in Vale’s base metal spinoff.
The Volkswagen Group recently intensified its EV efforts, investing nearly $200 billion (€180 billion) euros over the next five years to ramp production. A big chunk of the investment is going toward scaling battery cell production through PowerCo and the associated raw material costs.
Electrek’s Take
Volkswagen is headed in a direction I think many automakers will take – to vertically integrate. The automaker wants to be one of the premier global battery suppliers in the future through its PowerCo business.
The company expects PowerCo to generate a profit of more than $21.4 billion (€20 billion) by 2030 on its way to becoming an EV battery powerhouse.
If Volkswagen were to introduce an electric vehicle for around $20,000, and profitably, investing in mines directly and vertically integrating the business will be the first steps.
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Tenways launches new Wayfarer e-bike with 85-mile range, Apple Find My, and $577 savings at $1,899
Running alongside its ongoing Early Black Friday Sale, Tenways has launched its Wayfarer e-bike that comes with $277 in FREE gear at $1,899 shipped, after using the on-page code EARLYBIRD300 at checkout. This new model will go for $2,199 at full price once these launch savings end, which is getting a significant $300 markdown that sets the bar for future discounts, while also getting $277 in FREE add-on gear. That gear includes mudguards, a kickstand, and a rear cargo rack to bring some extra versatility. As always with this brand, folks who are medical providers, military, first responders, students, or teachers can receive an extra $100 discounts upon verification.
Whereas Tenways is known for its throttle-less commuters that have smaller motor and battery combos that add to their lightweight designs, the brand’s Wayfarer e-bike is flipping the script as it not only comes with a throttle, but also a larger Bafang 500W rear hub motor (peaking at 750W) powered by a 720Wh battery. This pairing gives you up to 85 miles of pedal-assisted support (with a torque sensor) and up to 35 miles of throttle-led full electric power, maxing out at either 20 or 28 MPH (depending on your local laws).
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Among its features, you’ll find hydraulic disc brakes with power cut-off, Kenda EPS all-terrain puncture-resistant tires, an 8-speed Shimano derailleur, an LED headlight, a brake-activated taillight with turn signaling, a TFT LCD screen for setting adjustments, and more. We’re even seeing some app-based support come in the form of a live dashboard for settings and performance, navigation services, and even Apple Find My integration so you always know where it is. You can learn even more in our original launch coverage.
Score an exclusive $1,750 savings on Jackery’s Explorer 3000 V2 solar bundle with 2x 200W panels at a new $1,249 low
We’ve secured an exclusive deal on the Jackery Explorer 3000 V2 (HomePower 3000) Portable Power Station bundled with two 200W solar panels at $1,249 shipped, after using the exclusive code 9TO5BFJACK at checkout. This solar-expanded package usually goes for $2,999 in full, which we’ve seen regularly keeping down at $1,599 since mid-September, and has only gone as low as $1,499 up until today. It’s starting off with an initial price cut to that $1,499 rate that we only saw once before during Prime Day, with the exclusive bonus savings taking things lower than ever with a combined $1,750 markdown to a new all-time low price.
For the rest of the day, save $325 on Anker’s black SOLIX C1000X Gen 2 power station at $475
As part of its Deals of the Day, Best Buy is offering the very first discount we’ve spotted on the Anker SOLIX C1000X Gen 2 Portable Power Station to $474.99 shipped. Normally going for $800 at full price, this is the first time we’ve seen discounts on this black colorway, as opposed to the standard grey colorway that is sold direct from the brand (currently $449), Amazon (currently $450), and other retailers. For the rest of the day only, you can pick it up with a $325 markdown off the going rate. Keep in mind that this is identical to the standard grey model we’ve seen go as low as $379, and is only notable for folks who would prefer the darker color. You can also browse the newer SOLIX C2000 Gen 2 power station launch deals here.
The savings this week are also continuing to a collection of other markdowns. To the same tune as the offers above, these all help you take a more energy-conscious approach to your routine. Winter means you can lock in even better off-season price cuts on electric tools for the lawn while saving on EVs and tons of other gear.
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In the Electrek Podcast, we discuss the most popular news in the world of sustainable transport and energy. In this week’s episode, we discuss Tesla’s ‘flying’ Roadster, Elon’s pay package, new EVs unveiled at Japan’s mobility show, and more.
As a reminder, we’ll have an accompanying post, like this one, on the site with an embedded link to the live stream. Head to the YouTube channel to get your questions and comments in.
After the show ends at around 5 p.m. ET, the video will be archived on YouTube and the audio on all your favorite podcast apps:
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We now have a Patreon if you want to help us avoid more ads and invest more in our content. We have some awesome gifts for our Patreons and more coming.
Here are a few of the articles that we will discuss during the podcast:
Here’s the live stream for today’s episode starting at 4:00 p.m. ET (or the video after 5 p.m. ET:
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Just in time for next week’s SEMA show in Las Vegas, Brian Kim Designs has dressed up the all-electric Hyundai IONIQ 5 in a wild concept body with wings, flared fenders, wild colors, and a whole lot more – perfect for Halloween!
Based on the ultra-high performance Hyundai IONIQ 5 N, Brian Kim Designs’ IONIQ EVO concept considers one of the directions high-performance electric vehicles could take as the tuner cars of the future, and explores (what Kim calls) the, “untapped potential of EVs” in the broader aftermarket and customization space.
The colors, too – in a high-energy matte finish, were carefully chose to set help the IONIQ EVO apart from its more pedestrian cousins. You can take a look, below:
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The Kim-designed aerodynamics-enhancing concept also incorporates fin-type side skirt trims, a deep chin splitter, and outlet designs that extract dirty air generated by the wheels. A massive, roof-mounted spoiler with full-length aero fin for enhanced stability at triple digit speeds is, of course, also included.
Of course, all the spoilers in the world won’t make a car faster. For that, you need power – but it’s not quite as easy to get “more” power out of an electric motors as it can be from an ICE. Luckily, the IONIQ 5 N has power and torque to spare. That means that the best way to improve performance isn’t necessarily having more horsepower, but having fewer lbs. for each of the car’s horses to pull aruond.
Kim’s website calls the IONIQ EVO exterior design, “an in-house customization concept by Hyundai Motor Company.” Here’s hoping the two get to collaborate again, soon.
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