Can Volkswagen realistically double its US market share by 2030, given the dominant positions of established players like Ford and General Motors, as well as the increasing popularity of alternative fuel options? By investing in electric vehicle technology and expanding its dealer network, can Volkswagen carve out a significant slice of the market? That’s the plan. Volkswagen is poised to rely heavily on the launch of new electric vehicles (EVs), including a Scout-branded all-electric pickup truck and SUV, as well as its recently announced partnership with Rivian, in order to boost gross sales.
Volkswagen’s US gross sales surged 31% during the second quarter, outpacing last year’s figures. While the Jetta was a significant contributor to Volkswagen’s US sales, SUVs actually accounted for the majority of the company’s gross sales in the country.
In the second quarter, Volkswagen’s best-seller was the Tiguan with 21,038 units sold, followed closely by the Jetta with 20,508, then the Taos with 20,468, and finally the Atlas with 19,293. With the introduction of the Cross Sport model, Volkswagen sold more than 29,000 Atlas variants.
Volkswagen’s sport utility vehicles (SUVs) comprised a substantial three-quarters of the company’s second-quarter gross sales. In the United States last quarter, Volkswagen sold a total of 3,845 passenger cars outside of the Jetta, excluding SUV models. Meanwhile, Volkswagen’s electric vehicle, the ID.4, saw a 15% decline in gross sales, with just 5,690 units sold.
As competition heats up from Chinese electric vehicle (EV) manufacturers such as BYD – a significant market for VW – the company anticipates the US will emerge as its primary growth engine.
As Volkswagen aims to nearly double its US market share to around 10% by 2030, it appears to be overhauling its product lineup.
Volkswagen appears poised to surpass Rivian and Jeep’s Scout electric vehicles in capturing US market share.
As part of its strategy to invest $5 billion in electric vehicle (EV) maker Rivian and establish a new three-way partnership, Volkswagen anticipates that this collaboration will yield significant returns.
While the collaboration may not yield a fleet of new Volkswagen EVs, the automaker is optimistic that leveraging Rivian’s expertise in technology and software can help resonate with American drivers.
Volkswagen’s struggles with software are well-documented. Numerous fashion brands and the highly anticipated Porsche Macan Electric have finally entered the market, albeit several years later than initially predicted.
Germany’s reports suggest that Volkswagen is putting off the production of additional electric vehicles (EVs), including the successor to its ID.4 model and a new all-electric SUV from Porsche. Volkswagen’s highly anticipated SSP platform has hit another snag, with its expected arrival now pushed back to 2029 – a 15-month delay from initial projections.
Volkswagen’s autonomous driving subsidiary, Cariad, has been a source of concern for several years. Rumors swirl that a specific incident may have contributed to the exit of Herbert Diess, VW Group’s former CEO? Volkswagen’s Diess launched the ID unit in 2020 to stay competitive with Tesla.
By introducing 30 electric vehicles into the US market, Volkswagen anticipates a significant uptick in EV sales. Although Volkswagen hasn’t officially revealed its latest designs, rumors suggest a few models are poised to hit the market soon.
Volkswagen is set to unveil an electric pickup truck and SUV, reviving its iconic Scout brand with a modern twist. The Scout Electric Vehicles can now be manufactured at Fisker’s newly established $2 billion facility in South Carolina.
The electric version of Volkswagen’s iconic Microbus is set to hit the roads in the US, marking a significant milestone for the automaker. The VW ID.Buzz is poised to make a splash in the US market, boasting an extended wheelbase and a more substantial battery capacity compared to its European counterpart. Deliveries are expected to commence in the coming months.
Rivian CEO RJ Scaringe distinguished the Volkswagen partnership from previous collaborations with Ford and Mercedes, citing a focus on “the very issue that has long plagued them.”
Electrek’s Take
Will Volkswagen’s efforts to revamp its lineup and expand its dealership network enable it to nearly triple its US market share to 8% by the end of the decade, surpassing brands like Toyota and Honda? Facing intense competition from rival manufacturers.
Despite offering a range of compact vehicles in the US market, VW’s larger Atlas model accounts for nearly the entirety of its gross sales. As the competition intensifies among Ford, General Motors, Jeep, Rivian, Tesla, and other key players, Scout is poised to assume a significant role in Volkswagen’s quest for a larger stake in the US market.
To stay ahead of the curve, VW should strive to establish itself as a pioneer in its industry. Establishing a distinct brand identity will prove crucial for VW as it partners with Rivian to introduce the new Scout EVs.
Can Volkswagen significantly expand its market presence in the US auto sector, potentially doubling its current market share, within the next decade? Tell us your ideas beneath.
