Volkswagen pointed to a ‘challenging EV climate’ as the reason why its electric sedan will no longer come to the U.S. and Canada. Two years ago, Volkswagen debuted a prototype of its ID.7, the sixth model in its lineup of electric vehicles,

The ID.7 was originally slated to go on sale in the U.S. at some point in 2024, but VW announced an indefinite delay in May of last year. There was no targeted on-sale date provided last year, which makes its complete cancellation less surprising now.

The joint venture with Volkswagen is drawing interest from other automakers eager to adopt Rivian's advanced tech, signaling a shift in EV industry dynamics.

The electric family sedan's tumultuous launch process ultimately ends with VW deciding not to sell it on this side of the pond.

"Due to the ongoing challenging EV climate, Volkswagen has decided to no longer offer the ID.7 to the North American market," Gillies said. "Despite this, electric vehicles continue to be a core part of Volkswagen’s long-term product strategy, and new electric models will continue to be introduced for this market."

Volkswagen was supposed to launch the ID.7 EV sometime in 2024, but the automaker initially delayed it before canceling the electric sedan altogether.