Volkswagen’s Q2 Profits Plummet; CEO Seeks Savings Plan Clarity by Year-End
TL/DR –
Volkswagen Group’s Q2 profit dipped 32.9% to €1.54 billion ($1.75 billion) compared to the same period in 2025 due to intense competition and flagging sales in China. CEO Oliver Blume stated a savings program alone is not sufficient and mentioned the need for the company to become more efficient, robust, competitive, and innovative while remaining profitable even if it sells only 8 million vehicles annually. He also revealed that details for these measures are expected to be finalized by the end of 2026, and that factory closures are not expected before 2030.
VW’s Q2 Profits Decrease: CEO Blume Demands Savings Plan Clarity by Year’s End
July 24, 2026
Volkswagen Group has reported a decrease in profits in its Q2 results, with a concerning 32.9% drop compared to Q2 2025. The company’s profits were €1.54 billion, approximately $1.75 billion USD.
The negative trend can largely be traced back to VW’s lagging sales in China, the world’s second-largest car market. Chinese competitors’ rising presence in Europe adds further pressure, as does the Trump administration’s tariff regime.
Board members like Arno Antlitz and CEO Oliver Blume are advocating for different solutions. Antlitz suggests job cuts and factory closures as necessary steps, while Blume stresses the importance of becoming more competitive and innovative.
Blume also mentions the possibility of measures such as reducing product range and streamlining production by the end of 2026. The Volkswagen Group includes well-known automakers such as Audi, Porsche, Seat, Skoda, Lamborghini, Bentley, and Ducati.
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