The namesake core division of Volkswagen Ag, doctor the second largest automaker in the world and the biggest in Europe registered the seventh consecutive monthly drop in May after a sales slowdown in China and drops in Latin America were not overcome by growth in Europe.
Overall, doctor the month ended with 499,500 deliveries for the core VW brand, down 5.9 percent from the same period last year, when sales were of 531,100 units. The total after the first five months is negative as well, with 2.48 million autos delivered worldwide, falling three percent from the figure last year of 2.55 million. “Deliveries by the Volkswagen Passenger Cars brand in May declined slightly in a tense and mixed market environment,” commented Christian Klingler, the board member in charge of sales and marketing at the VW Group. “Compared with last year, there were two fewer working days – and thus two fewer sales days – in May. This is one reason for the overall delivery trend and its effect was noticeable above all in Europe,” he added. Save for February, when the sales were level, deliveries of the core auto division – which accounts for around 60 percent of the company’s total sales and also commands the highest mix in terms of revenue – dropped every month since last October.
The brand had sales of 727,800 units in Europe for the January through May period, rising 2.1 percent. The deliveries across the Asia Pacific region were negative for the period, with a 3.4 percent overall drop and a 3.7 percent slide in China, the brand’s single largest auto market. The North American region posted a positive result, but the biggest player in the region, the US, continued to post a declining figure – down 4.2 percent to 144.000 units in the first five months. Meanwhile, Latin America looks like a never-ending pit, with deliveries down 22.4 percent overall and 27.8 percent in Brazil, the continent’s biggest market.