Volkswagen partners up for Scout EV development with $492 million deal

Volkswagen has determined to work with one other automaker to assist develop its revived Scout electrical automobile (EV) model in Europe, with current studies saying the corporate secured an order price round 450 million euros ($492 million).

Graz, Austria-based producer Magna Steyr will develop the 2 Volkswagen Scout EV fashions, in response to a report from native media outlet Kleine Zeitung final week. The EV model will get each an electrical pickup and an SUV, they usually’re anticipated to be launched within the U.S. in early 2027, with sequence manufacturing for the autos anticipated to be prepared by the top of 2026.

In response to the report, which cited a number of sources aware of the matter, Magna was initially alleged to oversee meeting of the EVs within the U.S., though Volkswagen now plans to construct the automobile itself at an upcoming South Carolina plant.

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The corporate will, nevertheless, produce the autos in Graz, and growth is reportedly already underway there and within the U.S. Magna primarily builds off-road autos on the Graz manufacturing unit, together with the Mercedes-Benz G-Class. The Volkswagen order additionally represents the most important contract for growth as of but.

Earlier this yr, Volkswagen stated that the electrical SUV can be priced round $40,000.

Within the press release asserting the Scout lineup final Might, introduced it will discovered an impartial firm to “design, engineer, and manufacture the pick-up and rugged SUV (R-SUV) section. The corporate later teased the upcoming re-brand as Scout Motors with the brand’s own website, which you’ll see here.

Volkswagen has embraced battery-electric autos (BEVs) over the previous few years. In September, the corporate introduced that its whole BEV deliveries had jumped 45 percent worldwide yr over yr.

You’ll be able to see a couple of of the Scout’s idea photographs from the discharge under.