Car Magazine has confirmed that Audi will be pulling the plug on its A2 electric city car project with a main concern over the car’s price tag of at least €40,000.

First shown in 2011 and originally expected to go into production in 2015, the A2 featured an 85kW, 199lb ft electric motor and 125-mile range. The electric vehicle was timed to go into production in order to compete with BMW’s i3 hatchback. 

When the company executives became uneasy about the small EV, measuring less than 4m in length, with the large price tag they began to doubt whether it in fact was a worthwhile project to undertake.

With the demand for mass-market EVs having shown low demand by the public that includes the Nissan Leaf and Mitsubishi i-MiEV, even with governments in Europe offering a discount, Audi no longer considers the manufacturing and marketing of the electric A2 a priority or any other EV for that matter at this time.