Volkswagen deliveries post steepest drop in more than four years as China weakness deepens

Volkswagen Global Deliveries Plunge in Q3 2023 Amid Deepening China Slump

Volkswagen Faces Significant Decline in Global Deliveries

Quarterly Performance Overview

Oct 12 (Reuters) - German automaker Volkswagen reported a 14.3% decline in global deliveries in the third quarter on Monday, its sharpest drop in more than four years, as weakness in China, its largest market, continued to weigh on sales.

Deliveries, a closely watched proxy for sales, fell to 1.89 million vehicles in the quarter.

Regional Breakdown of Deliveries

Deliveries in China tumbled 38.5% in the quarter and were down 30.2% in the first nine months of the year. Deliveries fell 5.8% in North America and 2.8% in Western Europe, but rose 1.4% in Central and Eastern Europe.

Industry and Executive Reactions

"The sharp decline in the overall market in China remains an industry-wide challenge," Martin Sander, a member of the group's extended executive committee, said in a statement.

The drop in deliveries was Volkswagen's steepest since a 22.4% decline in the second quarter of 2022.

Comparison with Other German Automakers

Volkswagen is the latest German automaker to report deteriorating sales in China after Porsche and Mercedes-Benz both posted weaker delivery figures last week.

Electric Vehicle Segment Performance

Global deliveries of battery-electric vehicles fell about 5% in the quarter despite a near 20% increase in Europe, reflecting weaker demand in China and growing competition from domestic manufacturers.

(Reporting by Danny Callaghan; Editing by Matt Scuffham)