Volkswagen Unveils New Products Targeted at Curious Buyers

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Despite its significant investment in electric vehicles, German automaker Volkswagen (VLKAF) has faced challenges selling them in the United States.

In May of the previous year, Volkswagen announced an indefinite delay for the North American release of the ID.7, an electric sedan available in Europe since 2023, which was intended to replace the Passat and Arteon mid-size sedans. The company cited “current market conditions” as the reason for this postponement. Sales data from Volkswagen indicate that the company sold only 17,021 units of the ID.4 SUV, marking a 55% decline from the 37,789 units sold the preceding year.

Volkswagen is now shifting its focus to hybrid vehicles. A new report from British motoring publication Autocar reveals that the automaker plans to introduce a series of hybrid vehicles featuring a new gas-electric hybrid engine. In Europe, Volkswagen already offers hybrid versions of several popular models, including the Golf, Tiguan, Passat, and Touareg. These models are available as plug-in hybrids, requiring charging, and 48-volt mild hybrids, which utilize a small electric generator in place of a traditional starter motor and alternator.

The new powertrain, as reported by Autocar, will resemble traditional hybrid systems like those of the Toyota Prius. These hybrids will not require a plug and will feature a gas-powered engine, an electric motor, and a battery capable of providing short-distance purely electric driving. A Volkswagen source notes that the system will be built around a turbocharged 1.5-liter four-cylinder engine, offering power levels between 201 horsepower and 268 horsepower.

The new system is set to debut in a model not available in the U.S.: the T-Roc, a small crossover. Nevertheless, Volkswagen announced last year that it plans to introduce plug-in hybrid electric vehicle (PHEV) models in the U.S. Former VW Group of America CEO, Pablo Di Si, expressed confidence in utilizing the technology on various models intended for the U.S. market, citing demand from both dealers and consumers.

Di Si stated to Auto News, “The dealers are asking for it. The consumers are asking for it. We have some really good news internally in terms of our product portfolio. I will not discuss it today. But we have good news that I’d like to share first with the team and then with the dealers.”

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