Hello there! Let me tell you how US-based manufacturing is helping Volkswagen offer Americans an affordable electric SUV

I want to start by introducing Volkswagen‘s 2023 ID.4 electric crossover SUV. This 5-seat vehicle represents Volkswagen‘s ambitious push to bring EV technology into the mainstream car buyer market with an entry-level price under $40,000.

Here‘s a quick rundown of key stats on the rear-wheel drive ID.4 Standard base model:

SpecDetails
Battery62 kWh
Range208 miles
Horsepower201
0-60 mph7.6 seconds
Price$37,495

Right off the bat, you can see the ID.4 delivers impressive range and performance specs given its sub-$40k pricing. But what really makes this price tag possible is that Volkswagen manufactures this EV domestically rather than importing it.

Why building the ID.4 in Tennessee saves buyers thousands

Many automakers import affordable models from overseas to save on production costs. However, shipping finished vehicles thousands of miles incurs major export fees and taxes:

  • Import tariffs add 2.5% to the sticker price
  • Overseas transport and logistics can exceed $2,000 per vehicle
  • Carbon taxes and import duties also apply

Analysts estimate these costs can add $3,000 or more to the final sale price. So by manufacturing the ID.4 crossover right here in America, Volkswagen avoids passing all those extra charges on to you.

Specific perks of the Chattanooga, TN production plant include:

  • $800 million infrastructure investment by Volkswagen
  • Tax incentives from federal and state governments
  • Streamlined domestic supply chain with savings on transport
  • Lower energy and raw material costs outside Europe

Domestic manufacturing saves thousands over the cost of importing a finished vehicle. And those savings get directly passed down to buyers through the ID.4‘s affordable pricing!

Despite the low sticker price, the ID.4 doesn‘t feel cheap

Now just because the ID.4 crossover starts under $40,000, Volkswagen was careful not to make the base model feel overly stripped down. You still get great features like:

  • Spacious interior with lots of rear legroom and cargo capacity
  • Sophisticated driver assistance systems with collision prevention
  • App-Connect smartphone integration for Apple CarPlay and Android Auto
  • Fast charging USB ports for devices
  • Premium leatherette seats and dash textures

And upgraded interior elements like panoramic glass roofing, lumbar massaging seats, augmented reality display options and an audio system tuned by Sonos are available.

My point is Volkswagen didn‘t sacrifice too heavily on quality or tech to meet that entry-level price target. The ID.4 feels just as polished inside as premium rivals.

How the ID.4 stacks up against rival affordable EVs

The ID.4 hits the market alongside compact EVs like Nissan‘s Leaf and the Chevrolet Bolt EV, which also aim for budget-conscious buyers. Here‘s a head-to-head comparison:

SpecsID.4LeafBolt EV
Price$37,495$28,495$26,595
Range208 mi149-212 mi259 mi
Performance201 hp
7.6s 0-60
147-214 hp
7.4-6.7s 0-60
200 hp
6.7s 0-60
Charging7.5 hrs (L2)
38 min (DC fast)
8 hrs (L2)
60 min (DC fast)
7.5 hrs (L2)
95 min (DC fast)
Cargo Space30.3 cu ft23.6 cu ft16.6 cu ft

As you can see, the ID.4 holds its own against even cheaper rivals, with competitive range and acceleration. More importantly, Volkswagen‘s superior interior quality of life separate it from the budget feel of the Leaf or Bolt EV.

The made-in-America ID.4 demonstrates exactly the value electric vehicle shoppers should start to expect: quality, tech and practicality even at mainstream pricing.

Federal tax credits save buyers an extra $7,500

On top of its reasonable $37,495 sticker price, purchasing the American-built ID.4 entitles you to a $7,500 incentive through the federal Clean Vehicle Credit program.

The ID.4 meets all requirements:

  • Assembled in USA (Chattanooga plant)
  • Manufacturer‘s suggested retail price under $55,000
  • Uses domestic battery materials & manufacturing

After claiming the tax credit, your real cost could dip below $30,000! And state incentives could drop that even lower. At that price, the ID.4 becomes cheaper than most gas-powered compact SUVs while offering smoother performance and cheaper electricity over gas.

Volkswagen bets big on US EV manufacturing

Expanding domestic ID.4 production shows Volkswagen is investing heavily to compete in America‘s EV boom. The brand secured $7.5 billion in financing towards its electrification plan, which includes:

  • Increasing Chattanooga plant capacity to 7 million vehicles annually
  • Launching an all-electric US-specific ID. Buzz microbus
  • Standardizing batteries and components between models for efficiency

Continued US manufacturing will allow Volkswagen to pass greater savings down to you as buyers. And positioning the ID.4 as an affordable, quality electric crossover for under $40,000 sets an example for other automakers to follow.

An electric SUV for America‘s middle class

The locally-produced 2023 ID.4 encapsulates Volkswagen‘s goal of bringing EVs into the mainstream. Its combination of sub-$40k pricing, ample range for daily commuting, and welcoming interior touches make this electric SUV a viable option for middle income American households.

And by manufacturing the ID.4 domestically rather than importing, Volkswagen can cut thousands in costs to pass along discount pricing. When paired with the $7,500 federal tax credit discount, suddenly you have an EV delivering great range, acceleration and tech for less than the average compact crossover.

As production ramps up in Tennessee, Volkswagen seems on pace to exceed sales goals for the ID.4. This practical electric crossover appears destined to convert everyday Americans into EV believers. Just like the iconic Beetle of the past, Volkswagen‘s ID.4 aims to bring electric mobility to the masses through intelligent engineering and manufacturing.

So for buyers seeking affordable electric transportation with modern styling and features, the locally-built 2023 ID.4 deserves a test drive. With Volkswagen continuing to invest in US production capacity, I expect the ID.4 lineup to deliver outstanding accessibility and value for years to come!

Let me know if you have any other questions about the ID.4 crossover or Volkswagen‘s American EV manufacturing initiatives!

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