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The success of the CUPRA Raval turns against SEAT... due to the lower profit margins of electric cars

The success of the CUPRA Raval turns against SEAT... due to the lower profit margins of electric cars

The CUPRA Raval has accumulated over 51,000 orders since its launch in April. The Spanish brand’s goal is to sell more than 100,000 units by the end of 2027. Currently, over 70% of CUPRA’s orders in Germany are for electric models, while this figure reaches 80% in France. In the Netherlands, electric vehicles account for almost all demand.

At present, CUPRA offers three electric cars: the aforementioned Raval, as well as the Born and Tavascan. However, the success of its electric lineup presents certain challenges in terms of profitability, as the profit margins on electric models are lower than those on conventional vehicles. This could in turn increase pressure on SEAT S.A., which is considering discontinuing the SEAT brand.

Markus Haupt, CEO of the Spanish manufacturer, recently stated that no final decision has yet been made regarding SEAT’s future, as it currently only sells vehicles with internal combustion engines. The executive admits it is unclear whether customers will continue to demand such vehicles by 2031 or 2032. “If the answer is ‘no,’ we should have an electric SEAT, but since there is no cost parity at the moment, a fully electric SEAT would not make sense today.”

For now, SEAT will continue to extend the commercial life of its current lineup, which includes the Ibiza, Arona, and León. The first two models will receive microhybrid (MHEV) powertrains next year, while the third will get a hybrid (HEV) version in 2028; additionally, it is planned to undergo a major restyling in 2029.

CUPRA Raval Gravel

CUPRA Raval will soon receive new versions

CUPRA is currently in the final stages of launching the Raval. For now, only its three most expensive versions (Plus, Endurance, and VZ) are available for purchase, while the entry-level model, called simply Raval, is not yet out. This base model will have an initial price of around 26,000 euros before any discounts.

On the other hand, the lineup was recently expanded with a variant positioned one tier above the VZ: the Raval VZ CUSTOM CUPRA by ABT, which, as its name suggests, was developed in collaboration with the German tuner ABT. Additionally, rumors suggest that a crossover version bearing the Gravel name will also be added in 2027.

CUPRA Raval

The CUPRA Raval Gravel will feature raised suspension, roof rails, and plastic body protections to give it a more off-road appearance; however, its off-road capabilities are likely quite limited since it won’t come equipped with all-wheel drive.

Source | ecomento