2023 Volkswagen ID.4 Price Jumps $2,500 in Canada for New and Existing Orders

VW price increase

Volkswagen started notifying its customers in Canada that ID.4 prices are jumping up by $2,500 CAD, starting on March 31, 2023.

The German automaker blamed the price increase due to higher production costs “we have been forced to take on.” A letter was shared by Clement King on the Canadian EV Owners Facebook group.

Also lacking from the ID.4 are power mirrors, a 360 degree camera, heat pump and subwoofer for his September 2022 order. But it appears he will be cancelling his order now and getting his $800 deposit back.

The full letter from Volkswagen is below:

Hi Clement King,

We would like to once again express our thanks for your patience as you wait for your ID 4. As you are aware, unprecedented demand coupled with ongoing supply chain constraints have resulted in delivery times that are far in excess of what is desirable.

We are optimistic that with our new production facility now producing vehicles exclusively for the North American market we will rapidly close the gap between supply and demand We greatly value you as a member of our Volkswagen family and want to make sure you are kept up to date

Unfortunately, the cost of raw materials critical to the production of EV batteries continues to rise. As such, we are implementing a price increase of $2,500 on all 2023 ID 4 models. This will take effect as of March 31st and will impact the pricing of the vehicle you have on order. This decision was not taken lightly and was only made in response to the increase in production costs we have been forced to take on.

In the event that you no longer wish to purchase the vehicle, you can cancel your order at any time, by contacting your dealer.

Please know that we are working to get you behind the wheel as soon as possible. If you have any questions, please reach out to your dealership.

Thank you for understanding.

Volkswagen Canada

The 2023 ID.4 AWD will be $75,000 CAD after tax, including this new price hike. The lack of production and supply will likely push orders towards Tesla vehicles as the latter is the only manufacture able to produce a high volume of EVs at the moment.