The Dream of 2009 is Alive in 2017: Volkswagen Named Sales Winner, by a Hair

Steph Willems
by Steph Willems

It’s a good news kind of day in Wolfsburg, despite fears of further indictments from U.S. authorities and an ongoing investigation by pesky German investigators.

After spending years jockeying with rival Toyota for the sales crown, Volkswagen finally pulled ahead in 2016 to become the world’s top automaker, fulfilling a goal set in 2009. The architect of that global dominance strategy — ex-CEO Martin Winterkorn — might not share the elation of his former colleagues, as he is currently under investigation for fraud.

In total, Volkswagen Group divisions delivered 10.3 million vehicles last year, topping Toyota’s tally by a thin margin. The previously best-selling automaker sold 10.2 million, making this race something of a photo finish.

Still, despite the closeness of the results, a podium is a podium. The scandal-plagued automaker saw its global sales fall significantly in 2015, hitting 9.9 million for the year, but controversy wasn’t enough to stop growing demand for the brand in China, as well as the surging popularity of the premium Audi and Porsche brands.

Meanwhile, Toyota saw its sales rise modestly from just under 10.1 million units sold in 2015. The latest full-year tally is less than the 10.3 billion the automaker recorded in 2014.

Both automakers are counting on new or refreshed utility vehicles to stimulate U.S. sales. Toyota will launch the C-HR crossover this year, while Volkswagen recently released the midsize Atlas and a larger Tiguan. It’s difficult to predict how an increased emphasis on style at the traditionally staid Toyota will play out with buyers.

The folks in Wolfsburg has best enjoy this victory, as there are growing signs that next year could see the automaker cede the crown to its rival. Headwinds are growing in key markets, Bloomberg reports. In China, a small-engine tax looms, threatening to snuff out the brand’s growth. Meanwhile, VW plans to scale back the leasing fleet it makes available to its vast German workforce.

There’s also the unanswered question of how President Trump’s proposed trade policies will impact European automakers — making for a year of uncertainty, and not just for Volkswagen.

[Image: Volkswagen]

Steph Willems
Steph Willems

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  • RHD RHD on Jan 30, 2017

    Although so many believed VW to be Number Two, Volkswagen has prevailed, and is actually Number One. It just may prove be Number Two next year.

  • Whatnext Whatnext on Feb 07, 2017

    What? Where are all the TTAC armchair experts who kept telling us that VW is finished and we should expect to see them in bankruptcy? The inability of many Americans to comprehend there is a world outside their borders never ceases to surprise.

  • Probert They already have hybrids, but these won't ever be them as they are built on the modular E-GMP skateboard.
  • Justin You guys still looking for that sportbak? I just saw one on the Facebook marketplace in Arizona
  • 28-Cars-Later I cannot remember what happens now, but there are whiteblocks in this period which develop a "tick" like sound which indicates they are toast (maybe head gasket?). Ten or so years ago I looked at an '03 or '04 S60 (I forget why) and I brought my Volvo indy along to tell me if it was worth my time - it ticked and that's when I learned this. This XC90 is probably worth about $300 as it sits, not kidding, and it will cost you conservatively $2500 for an engine swap (all the ones I see on car-part.com have north of 130K miles starting at $1,100 and that's not including freight to a shop, shop labor, other internals to do such as timing belt while engine out etc).
  • 28-Cars-Later Ford reported it lost $132,000 for each of its 10,000 electric vehicles sold in the first quarter of 2024, according to CNN. The sales were down 20 percent from the first quarter of 2023 and would “drag down earnings for the company overall.”The losses include “hundreds of millions being spent on research and development of the next generation of EVs for Ford. Those investments are years away from paying off.” [if they ever are recouped] Ford is the only major carmaker breaking out EV numbers by themselves. But other marques likely suffer similar losses. https://www.zerohedge.com/political/fords-120000-loss-vehicle-shows-california-ev-goals-are-impossible Given these facts, how did Tesla ever produce anything in volume let alone profit?
  • AZFelix Let's forego all of this dilly-dallying with autonomous cars and cut right to the chase and the only real solution.
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