VW’s Scout has more than 50,000 reservations for upcoming EVs as automaker aims to grow U.S. share – DOC Finance – your daily dose of finance.

VW’s Scout has more than 50,000 reservations for upcoming EVs as automaker aims to grow U.S. share

In this article, Scout Motors has garnered over 50,000 refundable reservation deposits for its initial electric pickups and SUVs, as stated by Volkswagen CEO Oliver Blume. Volkswagen has brought back Scout, an American brand that existed from 1961 to 1980, and unveiled production-ready models of its Terra pickup truck and Traveler SUV in October. These vehicles will be available as all-electric models or extended-range electric vehicles (EREVs).

Compared to other automakers that introduced all-electric vehicles in the early 2020s, Scout has received fewer reservations. While reservations do not ensure sales, they serve as an indicator of interest. Blume mentioned during a private media event at the CES tech conference in Las Vegas that the market response has been highly positive, with customers viewing it as a heritage and a love story.

To secure a spot among the first to order a vehicle upon release, customers need to submit a $100 refundable deposit to Scout. The vehicles are expected to be delivered in 2027. Scout is part of VW’s strategy to expand its market share in the U.S., which includes brands like Audi, Porsche, and its eponymous brand, with the current U.S. share standing at around 4%, according to Blume.

Scout CEO Scott Keogh expressed that the number of reservations has surpassed their expectations, with approximately 70% of reservations being for the Traveler SUV, aligning with company projections. Keogh did not disclose the reservation breakdown between the all-electric and EREV models, which are essentially plug-in hybrid electric vehicles featuring EV motors, battery cells, and a traditional internal combustion engine.

Keogh emphasized that Scout added EREVs to safeguard the brand against market fluctuations due to lower-than-anticipated consumer demand for EVs. The company is concentrating on enhancing brand recognition, vehicle engineering, and finalizing a $2 billion factory in South Carolina. The Traveler and Terra are anticipated to be priced below $60,000, offering over 500 miles of range for EREV vehicles and up to 350 miles for the all-electric models.

At CES, Scout showcased the connectivity and in-vehicle user experiences of its forthcoming truck and SUV, designed as outdoor recreational models akin to Jeep and EV startup Rivian, with satellite connectivity available for Scout vehicles in remote locations. Scout is constructing a plant in South Carolina with an annual production capacity of 200,000 vehicles and plans to source batteries from a VW joint venture battery cell manufacturer in Canada.

Additionally, Scout intends to incorporate software and electrical architecture from a $5.8 billion joint venture agreement between Rivian and VW in its vehicles. VW acquired the Scout trademark and name after its $3.7 billion acquisition in 2021 of Navistar, the successor of Scout’s original owner, International Harvester.