Generating attributes from the position of an element

Dear All,

I have the following xml file and wish to generate ID-s based on the
position to the <w> elements with the following XSL file, however, the
end result of the ID attribute is always 1, I have no idea why.

The xml file is

<?oxygen RNGSchema="http://www.tei-c.org/release/xml/tei/custom/schema/relaxng/tei_all.rng"
type="xml"?>
<?xml-stylesheet type="text/xsl" href="template.xsl"?>
<text>
    <w ID=" " >car</w>
    <w ID=" ">dog</w>
    <w ID=" ">cat</w>
    <w ID=" ">house</w>

</text>

The XSL file is

<?xml version="1.0" encoding="UTF-8"?>
<xsl:stylesheet xmlns:xsl="http://www.w3.org/1999/XSL/Transform"
    xmlns:tei="http://www.tei-c.org/ns/1.0" xmlns="http://www.tei-c.org/ns/1.0"
    version="2.0" exclude-result-prefixes="tei"
    xpath-default-namespace="http://www.tei-c.org/ns/1.0"
    >


    <xsl:template match="@*|node()|comment()|processing-instruction()"
priority="-5">
        <xsl:copy><xsl:apply-templates
select="@*|node()|comment()|processing-instruction()"/></xsl:copy>
        <xsl:apply-templates select="/text/w/@ID"/>

    </xsl:template>

<xsl:template match="@ID">
         <xsl:attribute name="Id">
            <countNo><xsl:value-of select="position()"/></countNo>

        </xsl:attribute>

    </xsl:template>

Result:

<?xml version="1.0" encoding="UTF-8"?><?oxygen
RNGSchema="http://www.tei-c.org/release/xml/tei/custom/schema/relaxng/tei_all.rng"
type="xml"?><?xml-stylesheet type="text/xsl"
href="template.xsl"?><text>
    <w Id="1">car</w>
    <w Id="1">dog</w>
    <!-- Why does not increment the number of the ID?  -->
<w Id="1">cat</w>
    <w Id="1">house</w>

</text>

Thanks,

Gabor