The Spanish brand Seat has announced that its short and medium term focus will continue to be the production of vehicles with internal combustion engines. This way, the full electrification of its range will be put on the back burner. This strategy contrasts with the path taken by other manufacturers, who have accelerated their conversion to electric mobility. The reason behind this decision lies in the market demand and financial viability.
Today internal combustion ICE cars represent a high percentage of sales, especially in key markets where EV infrastructure is still developing. In addition, the current situation of the combustion vehicles highlights the importance of maintaining alternatives for the time being. All of this benefits not only Seat, but the Volkswagen Group can continue to stretch its "thermal lifespan" without losing money while boosting its electrification.
A future still linked to combustion…
Although the automotive sector is undergoing an unprecedented transformation towards electrification, Seat has opted to maintain gasoline and diesel engines in its catalog. This decision does not imply a total rejection of electric mobility, but rather a more gradual and strategic transition. It is a critical moment for the automotive industry in Spain, where market developments will influence future decisions.
In the case of its sister brand, Cupra, yes I know is betting on hybrid (HEV and PHEV) and fully electric (EV) models, with plans to continue moving forward in this direction. In this way, the Volkswagen Group, owner of Seat and Cupra, is diversifying its strategy based on the characteristics and positioning of both brands.
Factors that influence electrification…
Among the main factors that have led Seat to continue investing in internal combustion are:
- Production cost: Manufacturing electric cars remains more expensive than internal combustion cars, which brings challenges to the market. The search for efficiency in internal combustion engines becomes essential to maintain competitiveness.
- Limited charging network: In many countries, charging infrastructure is still insufficient.
- Consumer preferences: In some markets, interest in electric vehicles is not yet prevalent.
- Regulations and deadlines: Although the regulations aim to reduce emissions, there are still years of margin before the total ban on traditional engines.
The medium-term strategy…
Seat will continue to launch new versions of its most successful models with combustion engines, ensuring that they comply with current environmental regulations. The company will continue to invest in efficiency and reduction of CO2 emissions within their thermal engines. This approach can also be linked to the combustion technology which seeks to adapt to new market demands. At the same time, the Volkswagen Group will continue to give Cupra the leading role in electromobility, allocating its resources to innovation and development for this brand.
Seat's approach represents a pragmatic bet at a time of uncertain transition in the automotive sector. In the coming years, it will be crucial to observe how the market evolves and whether the Spanish brand decides to accelerate its electrification as circumstances change. Without a doubt, developments in combustion and adaptation to future regulations will be crucial factors in this evolution. Hopefully, all this will help the Volkswagen Group keep the Spanish brand alive and not be an excuse to keep it a "zombie" brand and then end it...
Source - Automotive News Europe
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More information about this model
- Plazas 5
- Power 80 - 150 hp
- Consumption 5,3 - 5,7l/100km
- Assessment 4,5