- VW has notified German dealers about upcoming price hikes on ICE models.
- The price increases range from 2.1% to 4.2%, depending on the model.
- The new pricing catalog will take effect on September 12, 2024.
Volkswagen needs cash, and it plans to get it not just by cutting costs but also—predictably—by raising prices. The automaker is reportedly increasing the cost of its gas and diesel models in Germany by 2.1 to 4.2 percent. And that’s not all—VW is digging deeper into customers’ pockets with pricier equipment options. All this while the company grapples with “financial hurdles” and even threatens to shut down German plants due to sluggish car sales.
The price hikes impact the entire ICE-powered lineup for the 2025 model year, except for the Polo small hatchback. Recommended retail prices are rising from as little as €490 ($541) for the Taigo crossover to as much as €2,490 ($2,790) for the flagship Touareg SUV.
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The model most affected by the price changes is the popular VW Golf compact hatchback, with an increase of €1,150 ($1,270), representing a 4.2% price hike. The last day for customers to place orders at current prices is September 11, as the new catalog takes effect on September 12.
As reported by German magazine kfz-betrieb, the news was shared in a letter to local VW dealers. The ID family of EVs wasn’t mentioned, as those are sold under a different dealer model. However, potential changes in EV pricing can’t be ruled out for the future. Below is a detailed chart of the 2025 model year offerings that will see price increases later this week.
German Prices
Source: VW Infonet via kfz-betrieb
In addition to raising prices for its ICE-powered models, VW has reportedly increased the recommended retail prices of optional equipment. Examples include sunroofs, spare wheels, upgraded infotainment systems, head-up displays, and other optional packages and services.
Officially, VW hasn’t given a reason for its updated pricing catalog, but it likely ties back to the company’s ongoing economic struggles. Just a few months ago, in an interview with a German magazine, Achim Schaible, Chairman and Spokesman of the Board of Management of Volkswagen Germany, said that price increases weren’t necessary. However, it appears the situation has since taken a turn for the worse.
This isn’t the first time VW has raised prices on its ICE-powered lineup in Germany. Similar hikes were applied in spring 2023, making VW models less affordable.
