What is happening to VW?
Workers at the car giant have been taking industrial action following VW’s revelations about the possibility of closing German plants and axing thousands of jobs. Volkswagen is struggling with falling sales in Europe, high labour costs and excess capacity. The heart of the Volkswagen brand is located on the Mittelland Canal between Hannover and Magdeburg: The Wolfsburg plant is the headquarters of Volkswagen Passenger Cars and is the world’s largest single car manufacturing complex.Volkswagen is grappling with mounting financial troubles, signalling a worsening situation in its global manufacturing operations. With two profit warnings in three months, the automotive giant faces falling EV sales, factory underutilisation, and tariff threats from China.By 2025, Volkswagen aims to become the world’s leading manufacturer of electric vehicles, with a global market share of over 15%. This ambitious goal is supported by the company’s strong investments in research and development, as well as its ability to scale production to meet growing demand.The Volkswagen Group, headquartered in Wolfsburg, is one of the world’s leading manufacturers of automobiles and commercial vehicles and the largest carmaker in Europe. With our brands, business units and financial services, we are shaping the zero-emission and autonomous future of mobility.
Why is VW falling?
Declining demand and EV transition hits VW Volkswagen is grappling with declining demand in several leading markets, including China. Rising interest rates and sluggish sales have weakened the company’s position, leaving it vulnerable to the economic slowdown affecting many global automakers. In particular, this is a response to a decline in demand for fuel vehicles and the rapidly growing competition pressure from Chinese electric vehicles (EVs). Volkswagen’s recent factory closure/migration plans mainly cover three locations: Germany, Belgium, and Nanjing.Chinese car manufacturers want to buy Volkswagen: Potential buyers include Chery and BYD. Chinese car makers and government officials are eyeing German plants, which are set to close, particularly the Volkswagen sites, a source familiar with the matter told Reuters.
Why is VW in a crisis?
The primary causes of Volkswagen’s current difficulties include high production costs in Germany (especially labour and energy costs), low productivity, and the brand’s dependence on the Chinese market. YourMechanic did a study of 30 popular makes and found that Volkswagens aren’t expensive to fix. Measured over ten years, VW maintenance costs placed at #22 in the list, making it more affordable to maintain than brands like Ford, Chevrolet, Jeep, and Kia.The top 5 popular Volkswagen models and their prices are the Virtus (₹11. Lakh), Taigun (₹11. Lakh), Golf GTI (₹50. Lakh), Tiguan R-Line (₹45. Lakh). Explore the complete price list of all Volkswagen models as of September 2025 below.
What is the outlook for VW in 2025?
As a result, the Volkswagen Group now expects an operating return on sales in the range of 2 to 3% in the 2025 financial year (previously: 4 to 5%). The Volkswagen Group now expects net cash flow in the Automotive division to be around €0 billion (previously: €1 to 3 billion). German autos giant Volkswagen reported a 15% year-on-year drop in annual operating profit on Tuesday, citing increasing costs and extraordinary expenses associated with its restructuring strategy. It posted a revenue of 324.Volkswagen’s profit dropped by a third in the first half of the year, the German auto giant said on Friday, dragged down by the tough market for electric cars and President Trump’s tariffs.President Donald Trump’s tariffs cost German auto giant Volkswagen about $1. Friday. Sales in North America plunged 16% due primarily to U. S. Volkswagen, which owns a host of brands including Audi, Lamborghini and Porsche.
What is the future of Volkswagen?
Future plans for volkswagen: innovation, electrification, and expansion. Looking beyond 2025, volkswagen is positioning itself to dominate the global volume market with a heavy emphasis on technology leadership by 2030. The top volkswagen upcoming cars in india in 2025 are – volkswagen tera suv, volkswagen taigun facelift, volkswagen tayron and volkswagen id. Q: which are the new volkswagen cars launched in india? The new volkswagen cars that were recently launched in india are – volkswagen golf gti and volkswagen tiguan r-line.However, we have it on good authority that Volkswagen has no plans to quit on the Indian market this early into its wave of brand-new models.