Liux’s Brave Leap into Sustainable Microcars: Taking on Chinese Competitors

Throughout Europe, urban areas are experiencing a shift towards smaller vehicles. The increasing appeal of microcars has led to the charming Italian ‘yoghurt pots’ making way for compact electric vehicles (EVs) from China. In alignment with this trend, the famous ultra-compact car manufacturer Smart has relocated its production to China.

Aiming to carve out a niche in this bustling market, Spanish startup Liux is set to launch a compact electric vehicle with a sustainability focus.

Riding on the coattails of the Swiss Microlino’s success, Liux is preparing to introduce its new microcar, known as the Liux Big. The moniker “Big” brings a smile; while it is compact enough to squeeze into tight parking spots, it also reflects the ambitious nature of a team that often opts for innovative approaches.

“The concept of a European car is nearly non-existent,” remarked Liux co-founder Antonio Espinosa de los Monteros in an interview with TechCrunch. His startup’s vehicles have already gained attention for being “made in Spain,” making his comments surprisingly insightful and resonant with the company’s values.

While the batteries for Liux are sourced from outside Europe, they are intended to be charged at home through solar energy. The vehicle’s design prioritizes easy maintenance and addresses the rapid obsolescence often seen in contemporary automobiles. Additionally, the exterior incorporates an innovative linen-based biocomposite, aimed at enhancing future recycling capabilities.

“David and I are both convinced that recycling goes beyond laboratory settings. While any item is technically recyclable in a lab, the true recyclability of a material relies on its design,” Espinosa shared. “Maintaining material integrity and ensuring that components can be reused is essential in our manufacturing approach.”

Espinosa’s dedication to “real circularity” originates from his prior venture, Auara, a Spanish B Corp that provided natural mineral water in bottles that were both recycled and recyclable. After a successful acquisition by a larger enterprise, he and Sancho decided to embark on the journey with Liux.

Focusing on vehicle innovation, Sancho has taken charge, directing efforts towards the production of low-emission models. His proficiency lies in engineering electric vehicles that rival gasoline cars in performance. Before Liux, he was responsible for developing the Bóreas, a hybrid supercar unveiled at the 24 Hours of Le Mans in 2017. After parting with former collaborators, he joined forces with Espinosa to create Liux.

Liux’s first prototype, the Animal, showcased their shared expertise: a fully electric five-seater primarily made from recycled and plant-based materials. However, after presenting the SUV to the public in 2022, they opted to pivot, recognizing that a more compact vehicle would have a better chance at homologation.

Fast forward to 2026; Liux has successfully achieved Europe-wide homologation for the Liux Big, with plans to officially unveil it in the first half of the following year. Currently, the company employs 65 individuals and is working to expand production across three facilities in Spain.

One of these facilities is in Azuqueca de Henares, about an hour from Madrid, where TechCrunch visited.

The Azuqueca plant, while relatively small, adheres to Toyota’s “lean management” principles and concentrates solely on the final stages of production, as explained by production manager Beatriz Belda González, a Spanish engineer with experience at BMW in Munich. She confirmed that the company could potentially achieve annual production of 20,000 vehicles by 2030.

While it’s premature to assess market demand, over 7,500 individuals have already joined the waitlist for the Liux Big. Signing up is free and allows the startup to evaluate its potential customer base. The typical demographic appears to be urban dwellers aged between 55 and 60, leading Liux to anticipate that the Liux Big will primarily serve as a secondary family vehicle.

This may temper expectations regarding the potential for microcars to fully supplant traditional vehicle ownership, but Espinosa acknowledges that Liux must take a strategic stance. By remaining flexible, the startup is open to collaboration with B2B fleet operators or companies engaged in autonomous vehicle technologies.

Espinosa envisions the Liux Big making a meaningful contribution to the market by offering a more sustainable and affordable alternative. Although the pricing is not yet finalized, the aim is to keep it below €18,000 — around $21,000 — before accounting for any applicable EV subsidies. This positions the vehicle towards the upper segment of the microcar price range, but Liux is committed to ensuring it delivers exceptional value.

Celso Fernández Llorens, the head of R&D at Liux, emphasized the significant constraints regarding weight and size in this sector. He believes that many microcars are quite similar, even though European regulators differentiate between ultra-light L6e four-wheelers and more substantial L7e models. Regardless, Liux has skillfully navigated these regulations to optimize its L7e homologation.

Through a series of strategic choices, the startup has effectively integrated a 260-liter trunk into the vehicle. Their main goal has been to ensure that drivers feel as though they’re operating a proper car, rather than a two-wheeler, which is vital for safety, as Sancho noted: a lightweight vehicle must retain structural integrity and stability during turns.

Although crash tests aren’t required for their vehicle category, Liux has proactively conducted tests to showcase the agility, braking, and handling capabilities of the Liux Big. Some of these features were demonstrated to TechCrunch during a short test drive of the prototype’s off-road variant.

Currently, the primary model will offer two battery choices: 15 kWh and 20 kWh, with a cargo variant also under consideration. Despite Sancho’s notable background, the allure of developing a supercar continues to captivate him. The company recently stated on LinkedIn its ambition to evolve beyond being “just a one-car brand.”

In the short term, however, Liux plans to utilize the €16 million it has raised to date (around $18.5 million, including European funding) to launch the urban version of the Liux Big in collaboration with dealerships across Europe.

The showroom where we convened provides an early look into Liux’s future sales experience, as detailed by brand manager Ana Terrado Leyva. She emphasized the use of textile screens, 3D models displaying the Liux Big’s three color options — two more than the Ford T — and a linoleum floor inspired by linen. These design choices reflect Liux’s strategy to differentiate itself from its Chinese competitors.

Perhaps the dream of a European car is not entirely illusory.