Volkswagen’s Cupra brand will make its U.S. debut by the end of the decade, according to an announcement from Wayne Griffiths, CEO of both companies.
The Cupra was originally a model operated by SEAT, a Volkswagen subsidiary operating in the European and South American markets. In 2018, the car was spun off to become its own lineup of battery-powered vehicles, which the company is now looking to introduce to the U.S. During a March 21 SEAT media conference hosted in Spain, Griffiths explained, “We want to build on our outstanding success in overseas markets. But when we talk ‘global,’ when we say ‘bigger,’ we mean the United States of America.”
The first Cupra model Volkswagen will bring to the U.S. is the Formentor crossover, which will be followed up by a larger SUV. Although an exact timeline has yet to be confirmed, the Volkswagen does not plan on launching the brand nationwide but will focus on key states, primarily the coastal and Sun Belt markets. Rather than using a traditional franchise model, however, Griffiths added that the two models will be sold “through a new distribution model.” While he did not clarify what this means, he may be referring to a direct-to-consumer sales model similar to other electric vehicle brands like Tesla and Rivian.
European brands like Volkswagen have struggled to grow their presence in the U.S. Stellantis has seen its market share, profitability, and sales volume decline steadily in North America despite its strong global performance. Nevertheless, Cupra represents a chance to begin a fresh start, given its focus on electric vehicles only. While the battery-powered car market in the U.S. remains far behind that in other countries, it still represents a growth opportunity few other segments can match.
