Volkswagen will cut 60% of combustion engine models in Europe by 2030

According to the latest report, Volkswagen Chief Financial Officer Arno Antlitz said that Volkswagen will abandon dozens of internal combustion engine models by 2030 and reduce the number of cars. Overall sales to focus on producing higher-margin quality cars.

“We’re more focused on quality and margins than volume and market share,” Antlitz said. He said Volkswagen would reduce its lineup of gasoline and diesel vehicles in Europe, including at least 100 models from several brands, by 60 percent over the next eight years. That’s different from the goal of former Volkswagen CEO Martin Winterkorn, who had hoped to beat Toyota and General Motors to become “number one in sales.”

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Moreover, Antlitz added that VW has a significantly lower fixed cost base and is, therefore, less dependent on sales volume and less dependent on growth; VW managed to reduce fixed costs by €41 billion ahead of schedule by 10% in 2019 % while investing in software development and new components.

In 2021, the sales of electric vehicles of the Volkswagen Group will almost double from 2020 to 452,900 units. In Europe, the Volkswagen Group’s market share of electric vehicles has reached 25%, which is twice the share of gasoline vehicles. Europe has become the Volkswagen Group’s best-selling market for electric vehicles. 

In the US market, the Volkswagen Group’s electric vehicle market share reached 7.5%, and the sales volume reached second place in the market. In the Chinese market, Volkswagen Group will deliver a total of 92,700 electric vehicles in 2021, more than four times that in 2020, but Diess did not say the market share and sales ranking of Volkswagen Group’s electric vehicles in China.

(VIA)