VW Inks Record Sales Of 6.2M Units In 2007
January 17, 2008
Europe’s largest automaker Volkswagen AG inked sales record of 6.2 million vehicles last year thanks to the strong demand in Brazil, China and eastern Europe.
The German automaker said last Monday that the sales figure represents an increase of eight percent from 2006 with all of Volkswagen's brands contributing to the results. The brands include Audi, Skoda, Seat, Bentley, Lamborghini et Bugatti.
Group deliveries surged 7.9 percent in 2007 to 6.19 million cars and sport-utility vehicles from 5.73 million in 2006, Chief Executive Officer Martin Winterkorn said at the North American International Auto Show.
“They do have some momentum,' said Rebecca Lindland, a senior automotive analyst with Global Insight Inc. in Lexington, Massachusetts. “They have people looking at Volkswagen again. They have a chance if they stay true to their German heritage. VW is a brand that people want to root for. It has a certain charisma and appeal.'
“We have made a lot of mistakes in the U.S.,' said Stefan Jacoby, Volkswagen group's North American chief. “But we're a part of American pop culture. We have a one-time chance to turn this around.'
Increases were strongest in emerging economies, with sales in China jumping by 28 percent to more than 900,000 vehicles, in Brazil by 32 percent to 581,000 and in central and eastern Europe by 20 percent to 496,400 units, Volkswagen said.
According to an AFP release, Volkswagen’s sales in Germany, which still represent the company's biggest single market, dropped by 4.8 percent for the entire group and by 9.0 percent for VW brand vehicles.
Currently, the automaker is eyeing on a potential plant site in North America to back its restructure program in the United States. To note, American sales dived 0.5 percent in 2007 to approximately over 530,000 vehicles. This year, Volkswagen expects more record sales, said the Volkswagen boss.
The maker of Volkswagen oil pan intends to snatch the crown of the Toyota Motor Corp, which is closing in on General Motors Corp as the leading automaker worldwide. In support of the said goal, the automaker plans to sell eight million vehicles a year by 2012 and 11 million by 2018.
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