The 2023 Volkswagen ID4 all-electric SUV is now assembled in Chattanooga, Tenn., just in time for the federal government's landmark Inflation Reduction Act that requires localized material sourcing and production for EVs to qualify for new incentives. The U.S. ID4 didn't just change its address, it also comes with a slew of feature and capability updates that the European and Chinese markets won't get. It now comes with more powertrain options, new colors, an updated interior, light-up VW logos, as well as an all-new entry-level model at a lower price point.

The major update to the ID4 lineup for the U.S. in 2023 is the newly-introduced, smaller 62 kWh (58 kWh usable) battery pack size, which is available on the RWD Standard and RWD S models. The single rear motor powertrain setup maintains 201 horsepower and 229 lb-ft of torque; the compromise comes with range, which falls to 209 miles—a drop of around 40 miles, depending on trim, compared to the 82-kWh battery offering. The new model lowers the entry point for the ID4 model range, which now starts at $38,790 before incentives.

The ID4 Standard features minimal badging, a metal panel roof instead of glass, it lacks an illuminated front light bar and LED projector headlights, and it swaps the otherwise standard 20-inch wheels for 19s. The biggest cosmetic change beyond the paint and wheels in the ID4 updates is the new rear VW badge, which lights up red now on all but the base models.

Across the range, the ID4 gets a 12-inch infotainment touchscreen standard and introduces a new center console that replaces the previous ID4 iteration's awkward front armrests and cubbies. It also now gets in-unit charge-routing navigation for finding a place to fill up, and an updated suite of advanced driver safety assistance features including adaptive cruise control, lane keep assist, park assist, and a new automatic lane change assist feature.

Considering the upgrades to the 2023 ID4 are mostly either cosmetic or have minimal impact on performance, our driving impressions aren't much different from the previous ID4s we've tested. That's to say, the ID4 offers a very comfortable and smooth ride, with adequate acceleration and tight handling, in a comfortable package with tons of standard features. It's safe to say the ID4's dual-motor AWD system is meant more for navigating gravel, snow, and fire roads, or whatever the vehicle's clearance limits would allow. Certainly nothing hardcore (unless you're in VW's Baja race-prepped ID4s we drove a couple years ago).

We took an ID4 AWD Pro S on a day trip from Nashville to Chattanooga on both highways and curvy and hilly back roads with no charging between stops. I managed to go 229 miles out of the advertised 255 miles the AWD Pro S model offers on a single charge, arriving at my destination with 0 percent charge and 0 miles of range remaining. I had actually driven a handful of miles after I hit zero, and came away impressed that the car didn't strand me on the side of the road. (For context, another AWD Pro S on the same journey arrived with 27 percent and 90 miles remaining.)

Considering I'd only switched from "D" driving mode to "B" near the end of my trip, which offers increased energy regeneration to charge the battery, it's likely I could have preserved more range and gone further had I operated in "B" entirely. I'm also sure the sustained highway speeds also ultimately zapped away a few miles I could have used. In theory, the ID4's "plug-and-play" relationship with Electrify America stations, which lets you pull up, plug the car in and automatically start charging if your account is set up, would have made it very easy to stop for a charge.

Inside, the standard 12-inch touchscreen display is bright and easy to reach from the driver's seat, offering physical buttons for the main menu categories and haptic touch buttons for temperature and volume control. The new center console setup now offers more storage space and a phone charging pad, and the previous year's cloth seats have been upgraded to standard new mélange fabric and leatherette, and offer plenty of support and comfort for at least 200 miles of sitting. The newly introduced "Galaxy" interior color on S, Pro S, and AWD Pro S would be the one to get, bringing in blue accents on top of a white steering wheel and white seats.

The estimated 6-second run to 60 mph for the ID4 AWD Pro models could be considered slow for a modern AWD EV; however, the more relaxed power delivery is progressive and actually comfortable. Passing another vehicle at high speed, however, resulted in less-than-desirable acceleration, so only pass if you know you have the room.

The ID4 comes with four drive modes: Eco, Comfort, Sport, and a configurable custom mode. Each slightly tweaks the throttle mapping of the electric motors and the steering heft. However, the differences between each mode are hardly distinct enough to make a significant alteration to most day-to-day driving. You're not missing out on much if you drive it exclusively in Eco to save on range. All-wheel drive ID4s come with a tow hitch equipped and are rated to tow 2,700 pounds.

Despite some interior updates, the dashboard and infotainment setup carry over for 2023, as do our gripes with the system. The haptic piano-black controls for the volume and temperature settings would be better and easier to use for the driver as real buttons. Some touch points on the foot-wide screen, like the heated seat activation, only appear on the left side, far away from where a passenger can reach it.

Our test car really struggled with Apple CarPlay on two occasions, forcing me to make the computer "forget" my device in the car's system to launch at all, and the second instance we had to hard-reset the car by powering it off, taking the key out, walking away and coming back. VW's engineers believed it was likely an issue with the most recent version of CarPlay, but they would say that, wouldn't they?

The ID4 is a tricky one to write about, mostly because it does such a good job at being a regular Volkswagen SUV that also just happens to be a decent EV. There's no real moonshot here; VW is focused on delivering a comfortable and practical package, and there aren't any gimmicks. It may not have anything that particularly stands out, but the comfortable ride and extensive powertrain options makes the ID4 still worth considering against the likes of the Nissan Ariya, Tesla Model Y, and Ford Mustang Mach-E.