New Volkswagen EV has outsold Tesla and there’s a reason why

The Volkswagen Group remains one of the largest car groups on the planet.

In fact, in terms of sales revenue, the group is the largest entity on earth.

Recently, the new range of Volkswagen EVs have outsold Tesla.

And there is one very important reason why.

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Volkswagen pivoting to meet EV demand

Like every other car company in the world, Volkswagen is heavily pivoting to the EV world.

The Volkswagen group has, over the years, been responsible for some of the best cars built today.

However, the car world is changing, and changing rapidly.

Ever since the turn of the 2020s, the demand for hybrid/full EV vehicles has changed.

Companies such as Tesla and BYD have led the charge and the change.

Now though, Volkswagen has turned to face the change, and have enjoyed a lot of success.

In 2024, the German giants sold over 300,000 fully electric vehicles.

The Volkswagen ID.4 and ID.3, in particular, have become the brand’s most popular models.

German giants outselling Tesla – but why?

Now, the German brand have begun to outsell Tesla – in Tesla’s own core market.

According to statistics from JATO Dynamics, the Volkswagen ID.4 sold 7,177 in Europe in January of this year.

To put that number into context, that’s an almost 200 percent increase in sales compared to 12 months ago.

In contract, Tesla’s Model Y sold 6,115 units this January, which still sounds very impressive.

That is until you realize that that is a nearly 50 percent decrease from 12 months ago.

There are a couple of big reasons for this extremely dramatic change.

The first reason is the price – the ID.4 costs just under $40,000, which is around $3,000 cheaper than the Model Y.

Another major contribution factor is the carrot-and-stick approach of government around the world.

In some countries, governments and manufacturers offer substantial subsidies to switch to EV cars.

Contrastingly, some, such as the UK government, are passing EV mandates – thus forcing brands to push EV cars.

This combination is pushing people to invest more and more in fully electric vehicles.

And it would appear that the Germans will continue to be a major player in that shift.

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