Volkswagen may launch an affordable electric car similar to the Renault Twingo

According to a new report from Reuters, Volkswagen and Renault have concluded talks to jointly develop an affordable electric vehicle.

Here's What We Know

After several months of negotiations, the companies failed to reach an agreement, and Volkswagen decided to develop its budget electric vehicle based on the upcoming Renault Twingo on its own.

Volkswagen is expected to announce its plans for its own affordable electric vehicle in the coming weeks. Volkswagen CEO Thomas Schaefer has previously stated that he plans to launch a low-cost electric vehicle by 2027.

While Renault will continue to develop the Twingo on its own, the company remains open to working with other partners. Renault will launch the Twingo in 2026.

However, the decision is a setback for Renault CEO Luca de Meo's hopes of increasing cooperation between European automakers to avoid competition from Chinese electric vehicle manufacturers.

Source: Arena Ev