Australian study finds VW diesel using up to 14% more fuel in real world driving after emissions upgrade
11 more multinationals join Hydrogen Council

Volkswagen Group to expand EV production worldwide to 16 sites by end of 2022; partnerships with battery manufacturers

The Volkswagen Group is expanding its production of electric vehicles to 16 locations around the globe by the end of 2022. This was announced by Matthias Müller, CEO of Volkswagen AG, at the Group’s Annual Media Conference in Berlin. The Group currently produces electric vehicles at three locations, and in two years’ time a further nine Group plants are scheduled to be equipped for this purpose.

To ensure adequate battery capacity, partnerships with battery manufacturers for Europe and China have already been agreed. The contracts already awarded have a total volume of around €20 billion (US$24.7 billion). A supplier decision for North America will be taken shortly.

When “Roadmap E” was launched last fall, Volkswagen announced plans to build up to three million electric vehicles annually by 2025 and market 80 new electric Group models. This year, another nine new vehicles, three of which will be purely electric-powered, will be added to the Group’s electric portfolio of eight e-cars and plug-in hybrids.

From 2019, there will be a new electric vehicle “virtually every month”, Müller said: “This is how we intend to offer the largest fleet of electric vehicles in the world, across all brands and regions, in just a few years.”

Müller emphasized that this did not mean Volkswagen was turning its back on conventional drive systems. Modern diesel drives were part of the solution, not part of the problem, he stressed—also with regard to climate change.

We are making massive investments in the mobility of tomorrow, but without neglecting current technologies and vehicles that will continue to play an important role for decades to come. We are putting almost €20 billion into our conventional vehicle and drive portfolio in 2018, with a total of more than €90 billion [US$111 billion] scheduled over the next five years.

A separate Committee chaired by CEO Müller is advancing digitalization in the Group, a key issue for the future.

The Volkswagen Group says that it has the financial resources for the transformation. In spite of the billions in cash outflows from the diesel crisis, net liquidity at the end of 2017 remained at €22.4 billion (US$27.6 billion]).

Research and development costs in 2017 were dominated by new models along with the electrification of the vehicle portfolio, a more efficient range of engines and digitalization. At €12.6 (US$15.5) billion, investments in property, plant and equipment in the Automobile Division remained at the previous year’s level. The R&D ratio, total research and development expenditure as a percentage of the Automotive Division’s sales revenue, decreased to 6.7% from 7.3%. Capex/sales revenue was also lowered significantly to 6.4% from 6.9%.

Comments

Lad

Proving again that the key to the EV transition is the batteries.

Hope this is all true and not more VW smoke, because this is what it will take to bring affordable EVs to the masses and competition in the marketplace.

I fear the U.S. makers are in trouble by continuing to fight the transition and holding on to ICEs too long. Another series of bailouts??

nirmalkumar

Except for few auto companies cant produce before 2020
They cant match gm, tesla or jaguar.

Verify your Comment

Previewing your Comment

This is only a preview. Your comment has not yet been posted.

Working...
Your comment could not be posted. Error type:
Your comment has been posted. Post another comment

The letters and numbers you entered did not match the image. Please try again.

As a final step before posting your comment, enter the letters and numbers you see in the image below. This prevents automated programs from posting comments.

Having trouble reading this image? View an alternate.

Working...

Post a comment

Your Information

(Name is required. Email address will not be displayed with the comment.)