The Volkswagen Group is on a roll with its electric car strategy, delivering nearly 500,000 battery-electric vehicles (BEVs) worldwide in the first six months of 2023, a 50% increase compared to the same period last year. The German automaker also saw significant growth in plug-in hybrid vehicles (PHEVs), selling more than 300,000 units globally, a 75% jump from 2022.
The impressive numbers show that Volkswagen is not only catching up with its rivals in the electric car market but also surpassing them in some regions. In Europe, Volkswagen Group was the market leader in both BEVs and PHEVs, with a combined share of 26%. In China, the world's largest car market, Volkswagen Group increased its BEV deliveries by 85%, reaching almost 150,000 units.
The strong performance was driven by several factors, including the launch of new models, such as the Audi Q4 e-tron, the Skoda Enyaq iV, and the Porsche Taycan Cross Turismo, as well as the expansion of existing ones, such as the Volkswagen ID.3 and ID.4, which are now available in more variants and markets. The Group also benefited from the increasing demand for electric cars among consumers and fleet customers, as well as the government's supportive policies and incentives.
Volkswagen Group's CEO Herbert Diess said that the company is "well on track" to achieve its goal of selling one million electric cars in 2023 and that it is "confident" that it will reach its target of a 50% share of electric cars in its global sales by 2030. He also said that the company is "investing massively" in charging infrastructure, battery technology, and software development to improve its electric car offerings further.
However, Volkswagen Group is not resting on its laurels, as it faces fierce competition from other automakers, such as Tesla, Toyota, Hyundai, and Ford, which are also ramping up their electric car production and sales. Moreover, Volkswagen Group still has to deal with the legacy of the diesel emissions scandal that tarnished its reputation and cost it billions of dollars in fines and settlements.
To overcome these challenges, Volkswagen Group is pursuing a bold vision of becoming a "software-driven mobility provider" that can offer both cars and mobility services and solutions. The company is also working on developing new technologies and platforms for future electric vehicles, such as the Scalable Systems Platform (SSP), which will replace the current Modular Electric Drive Toolkit (MEB) and Premium Platform Electric (PPE) architectures by 2026.
The SSP platform will enable Volkswagen Group to produce electric cars that are more efficient, more intelligent, and more customizable than ever before. The platform will also support different types of vehicles, from compact cars to SUVs to vans to sports cars. Additionally, the SSP platform will be compatible with solid-state batteries, which are expected to offer higher energy density, lower cost, and faster charging than current lithium-ion batteries.
Volkswagen Group's electric car strategy is ambitious and impressive, but it has risks and uncertainties. The company will have to cope with various challenges, such as supply chain disruptions, regulatory changes, consumer preferences, and cyberattacks. It will also have to prove that it can deliver on its promises and regain the trust of its customers and stakeholders.
Nevertheless, Volkswagen Group has shown that it is serious about electrifying its car portfolio and transforming its business model. The company has demonstrated that it can leverage its scale, expertise, and innovation to create compelling electric cars that can appeal to a wide range of customers. The company has also shown that it can adapt to changing market conditions and customer expectations.
Volkswagen Group's electric car sales surge by 50% in the first half of 2023 is a remarkable achievement that reflects its commitment and progress in becoming a leader in sustainable mobility. The company has set a high bar for itself and its competitors in the electric car market. The question is: can it keep up the momentum?
