This year’s Paris Motor Show has taken a turn — away from premium electric vehicles (EVs) and toward affordability. It’s hardly a surprising development as pressure mounts from Chinese automakers like BYD and Xpeng that are gaining ground by offering cheaper EVs.
With automakers like Renault, Stellantis, and Volkswagen showcasing cheaper EV options, the focus is on reaching price-conscious consumers. But as these low-cost models flood the European market, one big question remains: Will they ever reach U.S. shores?
Renault leads the charge
Renault made a splash with its new R5, a €25,000 ($27,100) electric car that’s bringing retro flair and affordability together. The R5 is an electric update of a 1970s classic that once symbolized budget-friendly driving during oil crises. This modern version aims to do the same in today’s EV market. Alongside it is the slightly pricier R4, adding to Renault’s lineup of smaller, more affordable electric models.
Despite the buzz, Renault’s CEO Luca de Meo admitted, “The mood is not great around EVs right now.” He pointed out that price fluctuations and a lack of charging infrastructure continue to be major obstacles. Still, Renault seems committed to making electric cars accessible to more drivers.
One Volkswagen for Europeans, another for Americans
Volkswagen, while not debuting any groundbreaking budget EVs at the Paris Motor Show, did show off the Elroq, a compact plug-in SUV from its budget brand Skoda. With a price tag of around €33,000 ($35,500), it’s not exactly the affordable EV many were hoping for, but it still undercuts many of the more expensive electric models on the market.
Volkswagen has bigger plans for budget-friendly EVs, though. The brand is gearing up for the launch of the ID.2all, a €25,000 ($27,100) electric hatchback that could be a game changer. But here’s the catch: it won’t arrive until late next year, and it’s unlikely that this model will make it to the U.S. In the meantime, VW is focusing on higher-end models in the U.S. market, including its ID.4 SUV.
Like many automakers, VW has historically seen success with larger vehicles in the States, which makes rolling out a smaller, cheaper model more of a gamble. But if demand for budget EVs picks up, the ID.2all could be just what Volkswagen needs to capture attention on both sides of the Atlantic.
For now, though, it seems Volkswagen is watching and waiting, playing it safe with its electric strategy in the U.S.
Stellantis teams up with China
Stellantis is also making waves with its budget models, like the €19,999 ($21,500) Citroën ë-C3, one of the cheapest EVs showcased at the show. To keep costs down, Stellantis has partnered with Chinese automaker Leapmotor. Their goal? To produce smaller, more affordable cars that can undercut competitors.
The big question is whether this collaboration will bring these models to the U.S. market. Stellantis is under pressure to revive its sales globally, especially after a rough financial year, but its American portfolio hasn’t seen much focus on low-cost EVs just yet.
Will Americans ever see these models?
For now, there’s no clear timeline for when — if ever — these budget EVs might hit U.S. dealerships. American buyers typically lean toward larger vehicles, like SUVs and trucks, which means these smaller European models might not be the right fit. Plus, U.S. government incentives for EVs aren’t as strong as those offered in some European countries, which could make launching these budget options less appealing to automakers.
A spokesperson for Volkswagen reiterated that the German automaker has no plans to bring the ID.2all to the United States. Stellantis echoed the same message. While the company’s French brand, Citroën, isn’t sold in the United States, manufacturers will often rebadge a car to sell under an American car brand in the U.S. But, a spokesperson from Stellantis said that the company has no plans to do so.
Still, as Chinese brands like BYD make a play for the European market with even cheaper models, European automakers may be forced to look for new customers in the U.S. Will the promise of low-cost EVs eventually reach Americans? It’s possible—but don’t hold your breath.
Final thoughts
As affordable EVs steal the spotlight in Paris, U.S. buyers are left waiting. Renault, Stellantis, and VW are trying to crack the budget EV market, but it’s unclear if these models will ever make it across the Atlantic.
One certainty is that Americans won’t be seeing affordable Chinese EVs anytime soon, thanks to 100% tariffs introduced by the Biden Administration earlier this year. In the meantime, Americans will continue to see more expensive options dominate local lots while European consumers may get the first taste of these low-cost electric rides.
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