Down in sales, VW needs to boost the appeal of its compact crossover

Volkswagen recently reported sales for the second quarter of 2025, and it made for grim reading if you’re a fan of the brand’s electric crossover, the ID.4. Sales of this model for Q2 were 1,992 units in the U.S., a massive 65% decline over the same period last year. This result could be down to two things: a market more hesitant to EVs, and increased competition in the segment.

So perhaps it comes as good news that Volkswagen is planning a major update of its ID.4 in 2026; in June, VW USA only said the 2026 ID.4 would get a mid-model-year facelift, without mentioning any details. Although technically a facelift, the update is said to be so significant that the crossover will appear more like an all-new model. Here’s what’s in store.

“Really Beautiful” Design Language

VW CEO Thomas Schäfer told Autocar that the updated crossover will be “really beautiful,” with a design that more closely resembles other VW EVs like the ID.2. 

“We’ll redo the ID.4 completely inside and out,” said Schäfer. “It will be a completely different car - a huge step up.”

Known internally as the “electric Tiguan,” Schäfer said next year’s ID.4 “needed to fit in with the new design language going forward, since it is still our most important electric vehicle in numbers.”

While the current ID.4 is a neatly styled crossover, it’s not as sportily styled as rivals like the Ford Mustang Mach-E or Chevrolet Equinox EV, so a restyle will be welcome. Of course, there’s also Tesla’s Model Y to worry about, which recently underwent a substantial redesign of its own.

Related: I Think the 2025 VW ID.4's Pros (4) and Cons (3) Might Surprise You

Fully Revised, More User-Friendly Interior

The interior will also get many changes for the updated ID.4, including a new dashboard and user interface. VW has recently been reintroducing traditional buttons for certain functions, and this ID.4 will also benefit from similar changes. A traditional round knob for the volume control will make a welcome return, following backlash over the brand’s fussy slider controls.

No powertrain details are known at this stage, but the typical improvements to range and efficiency are expected. The current ID.4 produces either 282 horsepower (single motor) or 335 hp (dual motor). The single-motor variant could do with a slight power bump, but the ID.4 has always been a smooth operator and not as overtly sporty as some rivals. 

Expected to arrive late in 2026, the heavily updated ID.4 should launch here as a 2027 model.