How Volkswagen's Troubles Were Made in China

Volkswagen’s troubles are being traced increasingly to China, where the automaker once depended on strong sales and production for global profit. As the German group announced on Thursday it will cut its model lineup by as much as half, its China performance shows worsening momentum: sales fell by one third in 2023 versus 2019, and from April through June they were down another third versus the prior year. Volkswagen now faces tougher competition not only in China, but also overseas as Chinese brands expand into Latin America and Africa and gain share in the European Union, where they passed Japanese rivals in May. Volkswagen said its target is to produce nine million vehicles annually, down from 12 million previously and from a later 10 million goal. The article links part of the downturn to early reluctance to fully embrace electric-car design.