Audi to build premium entry-level EV from 2026

  • Audi is primed to expand to a more compact-sized segment of the EV market, according to reports from the German Press Agency.
  • The new model, which will exist in the same size segment as the current ICE-powered A3 hatchback, was originally planned to be launched in 2027, but will now be brought forward with production starting in 2026.
  • This new yet-to-be-named model will be the smallest and most affordable fully-electric car offered yet, from the premium brand.

Audi A3 to be offered in an all-electric guise from 2026

In preparation for the introduction of this new model, Audi will discontinue two of its current small ICE models, the A1 city car, and the compact Q2 SUV, which will end production in 2026 – the same year production of this new EV is pinned to start. With that in mind, this new compact Audi is likely to adopt the crossover/SUV trend – so a body size something similar to the Skoda Elroq could be a strong possibility. We can expect pricing to be somewhere in the range from £35,000 to £40,000, commanding a badge premium over other Volkswagen Group EVs whilst still being more affordable than the larger £46,600 Q4 e-tron. This will make it the most affordable Audi-branded EV yet, with there being no indications of an Audi-badged variant of the ID. EVERY1.

With the platform and parts sharing that occurs between Audi and the wider Volkswagen Group, this new electric model is likely to be heavily based on the underpinnings of existing EVs from the Volkswagen group. Audi’s current most affordable EV, the Q4 e-tron, is mechanically similar to its Volkswagen Group siblings, the Volkswagen ID.4 and Skoda Enyaq. With that in mind, it’s possible that this new model will be based on the same MEB platform as cars such as the Volkswagen ID.3 hatchback. The group is expected to bring a new modular Scalable Systems Platform (SSP) architecture to future EVs, but this isn’t expected to be introduced until around 2029, making it sound more likely this new Audi will use the aforementioned existing platforms available.

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The fast forwarding of this model comes weeks after the brand published its 2024 financial report, in which demand of Audi-branded vehicles (across all drivetrain types) dropped compared to 2023 amid what the manufacturer has called a ‘difficult environment’. This new model then, which will open up fully-electric Audi ownership to an even wider cohort, will be crucial for the brand’s future performance.

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