ID.4 Becomes a Strong Driver of VW’s US EV Push
The electric Volkswagen ID.4 is turning into one of VW’s best-selling models in the United States, signaling a pivotal moment for the brand’s EV strategy. In September 2025, ID.4 sales climbed 176% year over year to 12,470 units. Over the first nine months of 2025, VW sold 22,125 ID.4s in the U.S., moving the model into sixth place in the brand’s U.S. lineup and cementing its role as a cornerstone of VW’s urban electric car offer.
Subsidy End Triggers Last-Minute Buying Activity
The spike comes as the federal program offering tax credits to EV buyers ended on September 30, creating a sense of urgency among shoppers. While the 2025 ID.4 itself did not qualify for the subsidy, many buyers did benefit from lease incentives of up to $7,500 offered through participating lenders when leasing. That incentive window appears to have driven a notable share of the September surge, making the ID.4 a practical choice for customers who value low monthly costs and straightforward ownership in the near term.
Lease Incentives Helped Close the Gap
Analysts note that lease credits can be a decisive lever for buyers who are on the fence about switching to electric. Even after the subsidy ended, lenders and automakers continued to offer attractive lease terms for the ID.4, helping maintain momentum in a market where total cost of ownership remains a key factor for many households.
Comparisons Across VW’s US Lineup
Despite the ID.4’s momentum, VW’s best-selling models in the United States stayed with the traditional gas and hybrid lineup. The Tiguan LWB led VW with 48,951 units, while the Atlas stood at 51,181 units for the period. The ID.4, however, is emerging as the leading force in VW’s growing electric-segment portfolio, reinforcing the brand’s pivot toward urban EVs that pair practicality with everyday usability.
Market Implications and What Comes Next
Industry observers say the ID.4’s performance underscores how policy design can shape consumer behavior in meaningful ways, especially around the timing of incentives. With the subsidy window closed, VW now faces the task of sustaining momentum through competitive pricing, improved charging infrastructure access, and continued improvements in battery technology. The ID.4’s appeal—compact footprint, ample interior space, and reasonable range for city driving—positions it well as VW scales its North American EV offerings.
Looking Ahead for VW’s EV Strategy
As more automakers push affordable EV crossovers, VW will need to balance production capacity, dealer incentives, and customer education to keep the ID.4 and its successors competitive. The September surge may prompt VW to refine its financing and lease programs, explore regional incentives, and accelerate planning for new EV models that complement the ID.4 and broaden the brand’s appeal in urban markets across the United States.
Conclusion: A Turning Point for VW’s US EV Ambitions
The ID.4’s late-year rise in U.S. sales highlights a broader shift toward practical, city-friendly electric vehicles. Even as federal subsidies fade, the model’s ongoing leasing incentives and solid value proposition suggest that demand for affordable EVs in the U.S. will continue to grow, reinforcing VW’s role in shaping the next phase of the American EV market.
