Summary
– Dealers believe the Volkswagen ID.7 would have been priced at over $50,000 in the U.S.
– The ID.7’s launch in the United States was delayed due to changing market dynamics, including lack of tax incentives and potential lack of demand for a mid-size EV.
– American dealers mostly support the delay, as they question the competitiveness of a $50,000+ electric sedan.
– The ID.7 was intended to replace the Passat and Arteon in the U.S. market, but there are concerns about its appeal and sales potential.
– The delay leaves uncertainty around the ID.7’s future in North America, with possible launch pushed back to a later model year.
Article
### The Delayed Arrival of the Volkswagen ID.7 in the United States
Even though the ID.7 didn’t have an official price tag for the U.S., dealers feel like it would have been a $50,000+ EV. The Volkswagen ID.7 was supposed to arrive at dealers in the United States toward the end of this year, but the German company delayed the electric liftback’s launch here because of “changing market dynamics.” Now, American dealers are chiming in and saying that they mostly support the move, as a flagship mid-size five-door EV would be a tough sell stateside, especially considering a hypothetical starting price of $50,000.
### The ID.7’s Course of Action
The Volkswagen ID.7 electric liftback was supposed to replace both the Passat and Arteon in the United States. Now, its future here is uncertain as the market for a $50,000+ mid-size sedan that isn’t a Mercedes-Benz, Audi or BMW doesn’t really exist, according to VW dealers interviewed by Automotive News. The vast majority of Volkswagen dealers in the United States support the delay of the ID.7, as they question its competitive pricing and market appeal without federal incentives.
### Perspectives from Volkswagen Dealers
John Luciano, owner of Street Volkswagen in Amarillo, Texas, and a member of the Volkswagen National Dealer Advisory Council, expressed caution about the launch of the ID.7 due to its expected price point. Anthony Scala, co-owner of City Auto Group, echoed similar sentiments, stating that an expensive electric sedan is unlikely to appeal to most Americans, especially in a market dominated by luxury brands like Mercedes-Benz, Audi, and BMW. Volkswagen has struggled to sell sedans in recent years, leading to a shift towards SUV-focused lineups.
### Challenges in the American Market
In Europe, the ID.7 has seen higher-than-expected demand since its launch, especially in Germany. However, in North America, the delay of the ID.7 does not come with a revised launch date, leaving prospective customers and dealers uncertain about its future. The ID.7 was originally billed as a 2025 model, but the recent delay may push back its launch by at least one model year, posing a potential challenge for its success in the U.S. market.
### Uncertainties Surrounding the Future of the ID.7
The delay of the Volkswagen ID.7 in the United States could either prove to be beneficial for the company or further hinder its adoption in the market. If Volkswagen rethinks its pricing and features strategy, the ID.7 could potentially become a successful model. However, if the car is launched without significant revisions, it may face challenges as an older model in a rapidly evolving EV market. Ultimately, the success of the ID.7 in the United States will depend on Volkswagen’s ability to address market demands and pricing concerns.
### Conclusion
The delayed arrival of the Volkswagen ID.7 in the United States reflects the challenges that automakers face in introducing new EV models to the market. With concerns about pricing, competition, and consumer preferences, Volkswagen dealers have expressed caution about the ID.7’s potential success in the American market. As the company navigates these challenges and works towards a revised launch strategy for the ID.7, the future of this mid-size electric sedan remains uncertain. However, with strategic planning and adjustments to its pricing and features, Volkswagen may still have the opportunity to establish the ID.7 as a competitive model in the evolving landscape of electric vehicles.
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