Volkswagen has canceled U.S. plans for its ID.7 electric hatchback, leaving just two EVs in the automaker’s American lineup. The decision comes amid what VW describes as ongoing challenges in the electric vehicle market.
“Electric vehicles continue to be a core part of Volkswagen’s long-term product strategy, and new electric models will continue to be introduced for this market,” VW spokesperson Mark Gillies told The Car Guide. The publication first reported the cancellation.
The ID.7 has been available in European markets since late 2023. VW originally planned to launch it in the U.S. by late 2024 as a 2025 model, but those plans hit a snag last May. The automaker cited shifting market demands and unexpected European interest in the ID.7 Tourer wagon variant — a model that was never destined for American shores.
That strong European demand for the Tourer likely played a role in the ID.7’s U.S. demise. Production capacity initially earmarked for U.S.-market hatchbacks needed to be redirected to meet European orders.
The cancellation is particularly disappointing given the ID.7’s promising characteristics.
During a preview drive last year, the ID.7 impressed with its refined handling and spacious interior. Its aerodynamic design promised competitive range figures — though VW hadn’t planned to offer Americans the longest-range version with its most advanced battery setup.
The decision leaves Volkswagen’s U.S. electric lineup with just two models: the ID.4 crossover and the recently launched ID.Buzz microbus. The ID.Buzz has already made waves, earning Green Car Reports’ Best Car To Buy 2025 award. Meanwhile, the ID.4 — which entered the market for 2021 — received substantial updates for 2024 and continues to see strong sales through January 2025.
VW hasn’t provided details about its next electric vehicle for the U.S. market. The automaker’s EV strategy appears to be in flux as it navigates changing market conditions and consumer preferences.
