The price war in the electric car market has begun And that’s great news for buyers. From MG first with the MG 4, and now from Tesla with its notable price cut for the Tesla Model 3, we have seen a price drop in the purchase of electric cars that has put the rest of the market in check. Thus, this situation forces the rest of the brands to make a move if they do not want their electric vehicles to be left out of the market.
The high price of accessing an electric car is one of the great obstacles in this transition towards more sustainable mobility, however in recent weeks we have seen how the market has begun to shake with the advent of cars like the MG 4, a 100% electric compact of Chinese origin whose main objective is to stand up to models like the Volkswagen ID.3, with a much lower price as its main claim.
MG 4 Y Tesla Model 3 They have become the benchmark electric cars thanks to prices well below those of their rivals
And although they say that comparisons are odious, nothing better than taking a look at the prices and features of this scenario to see that indeed MG is willing to break the market. The cheapest MG 4 that we can buy in Spain is part of the €20,480 (Standard finish, with 170 CV and up to 350 km of autonomy), however if we take a look at its direct competition we find that the most affordable Volkswagen ID.3 starts at 38,010 euros (Entry finish, with 204 and up to 426 km of autonomy), the CUPRA Born starts at 34,590 euros (basic trim, with 204 CV and up to 425 km of autonomy) and the Renault Megane E-Tech starts at 28,136 euros (EV40 Standard Charge finish, with 130 CV and up to 302 km of autonomy). All these prices already include aid from the MOVES III Plan.
And if we are willing, and our budget allows it, to go up a step in performance, size and price, we can opt for the purchase of a Tesla Model 3 which is now part of the €38,970 (standard finish, with 283 CV and up to 491 km of autonomy) after the recent price reduction announced by the brand. By way of comparison, its most direct competition is clearly more expensive, with a Polestar 2 whose most affordable version currently starts at 44,690 euros (Long Range Single Motor finish, with 272 CV and up to 518 km of autonomy) and a BMW i4. whose cheapest version starts at 57,100 euros (eDrive35 version, with 286 CV and up to 482 km of autonomy). These prices include the reduction of up to 7,000 euros available through the MOVES Plan, with the exception of the BMW i4, which is left out for exceeding the limit of 45,000 euros before taxes that access to these aids requires.
Given this panorama, it is clear that the bets of MG and Tesla, each one in its segment, seek to make clear differences with their competition from a significantly lower price. In both models we are talking about offers that we do not know how long they can be maintained, although in both cases We are talking about two brands that have been able to achieve much lower manufacturing costs for their electric cars than those of their competition, adding in the case of Tesla sales volumes that allow the margin of each unit produced to be adjusted to the maximum. And this brings us to the million dollar question: Will the competition be able – or willing – to respond to this price war in the electric car market?
