Can Volkswagen double its market share in the United States by 2030?That’s the plan. VW will rely on new electric vehicles, adding a Scout-branded electric pickup truck and SUV, and its new partnership with Rivian to spice up sales.
Volkswagen sales in the United States increased 31% in the second quarter of last year. Besides the Jetta, SUVs accounted for the majority of VW’s sales in the United States.
The Tiguan (21,038) was the best-selling VW vehicle in the second quarter, followed by the Jetta (20,508), Taos (20,468) and Atlas (19,293). Including the Cross Sport version, VW sold more than 29,000 Atlas models.
Volkswagen’s SUVs accounted for three-quarters of VW’s sales in the second quarter. Excluding the Jetta, VW sold only 3,845 passenger cars (not adding SUVs) in the United States last quarter. Meanwhile, sales of its electric vehicle, the ID. 4, fell by 15%, with just 5,690 models sold.
With the expanding festival of electric vehicle manufacturers like BYD in China (VW’s most successful market), Volkswagen expects the United States to be its main growth engine.
With plans to double its market share in the US through 2030 to around 10%, VW will restructure the brand.
After announcing plans to invest $5 billion in electric vehicle maker Rivian to shape a new joint venture, VW expects the partnership to pay dividends.
While the partnership may not result in new Volkswagen electric vehicles, the company hopes the new generation and software, with Rivian’s help, will appeal to American drivers.
It’s no secret that VW has software problems. Several models, the new Porsche Macan Electric, arrived on the market years later than expected.
A recent report from German magazine Manager Magazin claims that Volkswagen is delaying the arrival of more electric vehicles, adding the successor to the ID. 4 and Porsche’s new electric SUV. The report is that the new delays come as VW’s SSP platform is expected to arrive as late as 2029, 15 months later than expected.
Volkswagen’s Cariad unit has been a challenge for years. Some say this is the reason for the departure of former VW Group CEO Herbert Diess. Diess introduced the unit in 2020 to keep up speed with Tesla.
With 30 electric cars planned in the United States, VW expects electric vehicle sales to increase. Although VW has not yet revealed all the new models, we know of some that will arrive in the near future.
Volkswagen is launching an electric pickup truck and SUV as part of plans to relaunch the robust Scout brand. Scout electric cars will be manufactured at its new $2 billion plant in South Carolina.
The logo also launches an electric edition of its iconic minibus in the United States. VW’s ID. Buzz will arrive in the US market with a longer wheelbase and a larger battery than in Europe. Deliveries are expected to begin in the coming months.
Update: Rivian CEO RJ Scaringe said the partnership with Volkswagen is different from partnerships with Ford and Mercedes because it focuses on “precisely what has been challenging. ” (read more about relationships beyond Rivian here)
Will Volkswagen double its market share in the United States by the end of the decade? The German automaker already faces fierce competition.
VW offers many small cars in United States, but its larger Atlas accounts for the majority of sales. Facing the developing festival of Ford, GM, Jeep, Rivian, Tesla and others, Scout is expected to play a role as VW seeks to gain market share in the United States.
VW will have to differentiate itself to identify itself as a leader. The partnership with Rivian and the new Scout EVs will help, but identifying a new identity will be up to VW.
Can Volkswagen double its market share in the U. S. until 2030? Let us know your thoughts below.
Source: Reuters, Volkswagen
Peter Johnson covers the automotive industry’s step-by-step transformation to electric vehicles. He is an experienced investor, money enthusiast and electric vehicle enthusiast. His enthusiasm for electric vehicles, primarily Tesla, is one of the main reasons he pursued a career in investing. If he doesn’t tell you about his latest discoveries in the 10K, you can find him enjoying the outdoors or running.