Volkswagen AG Reports 4% Decline in Q1 Global Deliveries Amid Growth in Western Europe

Deep News04-14

Volkswagen AG experienced a decline in global deliveries during the first quarter of 2025, with several key markets facing pressure. Growth in Western Europe and South America only partially offset the overall decrease.

Data released on Monday showed that the company's worldwide deliveries fell by 4% to 2.05 million vehicles in the first quarter. Volkswagen attributed the downturn to broader market challenges and the impact of U.S. tariffs.

In contrast, Western Europe saw a 4.2% increase in deliveries, while the South American market grew by 7%, providing some support to the group’s performance.

The U.S. market was particularly weak, with shipments dropping 20.5% during the quarter. Electric vehicle sales were notably affected, adding to the difficulty of managing tariff pressures and maintaining market share in North America. These figures have heightened investor concerns over the profitability outlook for traditional automakers.

Meanwhile, Volkswagen is actively collaborating with Chinese manufacturers to enhance product competitiveness. The company has partnered with XPeng to develop models better suited to Chinese consumer preferences, while its Audi brand is working with SAIC Motor to advance electric vehicle development.

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