Volkswagen Surprises With Strong August Sales

Bertel Schmitt
by Bertel Schmitt

Volkswagen announced global Group sales for August, and they are a whopping 18.9 percent over August 2011. For the first eight months of the year, Volkswagen Group deliveries are 10.2 percent ahead of what VW delivered in the same period last year. With all the bad news from Europe, how can a European car company deliver such good numbers, you ask?

Volkswagen global group deliveries August 20128M’128M’11YoYAug ’12Aug ’11YoYTotal5,910,0005,360,00010.2%719,500605,30018.9%Europe2,470,0002,430,0001.7%240,000230,0004.3%Ger792,300761,1004.1%84,20082,7001.8%WEUR ex D1,250,0001,330,000-5.8%100,000110,000-9.1%EEUR426,800340,80025.2%50,50041,20022.6%China1,740,0001,480,00017.9%230,000190,00021.1%USA380,000285,00033.3%55,80035,60056.7%South Am678,600619,6009.5%112,10081,50037.5%Black: VW data. Blue: TTAC calculated

By selling a lot elsewhere. In China, Volkswagen’s sales are up 22.6 percent in August. With 230,000 units sold in August, China is becoming as big as Europe (240,000 units) for Volkswagen. Even in Europe, Volkswagen is better positioned than others. Sales in Western Europe excluding Germany are down 9.1 percent in August, but they are up in Germany, and up a lot in Eastern Europe.

For the first time, Volkswagen counts Porsche as part of the grand total. The Group sales reflect 10,900 Porsches sold in August, but they don’t recognize Porsche sales before August. If VW continues this treatment, then its annual sales will only benefit from 5 months of Porsche sales. The numbers do not include Scania and MAN.

Bertel Schmitt
Bertel Schmitt

Bertel Schmitt comes back to journalism after taking a 35 year break in advertising and marketing. He ran and owned advertising agencies in Duesseldorf, Germany, and New York City. Volkswagen A.G. was Bertel's most important corporate account. Schmitt's advertising and marketing career touched many corners of the industry with a special focus on automotive products and services. Since 2004, he lives in Japan and China with his wife <a href="http://www.tomokoandbertel.com"> Tomoko </a>. Bertel Schmitt is a founding board member of the <a href="http://www.offshoresuperseries.com"> Offshore Super Series </a>, an American offshore powerboat racing organization. He is co-owner of the racing team Typhoon.

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  • CruzinRum CruzinRum on Sep 16, 2012

    I don't know what's going on in the rest of the world, but the 56% US growth is from VW practically giving away cars with their 0% APR 5 year financing. Instead of the tripled sales they're aiming for, they'll more likely end up with more-than-tripled default rates. No worries, the ECB will bail them out.

    • Jmo Jmo on Sep 17, 2012

      Are VW incentives higher than Honda, Toyota, Ford, etc?

  • Sundowner Sundowner on Sep 16, 2012

    VW products are hit and miss. I've had very, very good luck with a (German built) Passat wagon built in 2010 that made it to 15k miles before being hit by a sleeping SUV driver, excellent luck with a 2006 (German built) Audi A3 that has 90k miles and my wife still drives daily, And we also have two (German built) A4's that have been as rock solid as the toyotas and subarus others own in the family. We also had one (Mexican built) 2010 Jetta TDI wagon was so horribly unreliable that I wanted to burn it to the pavement after 4 months of ownership. After 10 months it was gone. There are those who will say that the MExican built VW's are no better or worse than the German models, but I only have 5 data points to judge for myself, and in my book, they are conclusive.

  • Honda1 Unions were needed back in the early days, not needed know. There are plenty of rules and regulations and government agencies that keep companies in line. It's just a money grad and nothing more. Fain is a punk!
  • 1995 SC If the necessary number of employees vote to unionize then yes, they should be unionized. That's how it works.
  • Sobhuza Trooper That Dave Thomas fella sounds like the kind of twit who is oh-so-quick to tell us how easy and fun the bus is for any and all of your personal transportation needs. The time to get to and from the bus stop is never a concern. The time waiting for the bus is never a concern. The time waiting for a connection (if there is one) is never a concern. The weather is never a concern. Whatever you might be carrying or intend to purchase is never a concern. Nope, Boo Cars! Yeah Buses! Buses rule!Needless to say, these twits don't actual take the damn bus.
  • MaintenanceCosts Nobody here seems to acknowledge that there are multiple use cases for cars.Some people spend all their time driving all over the country and need every mile and minute of time savings. ICE cars are better for them right now.Some people only drive locally and fly when they travel. For them, there's probably a range number that works, and they don't really need more. For the uses for which we use our EV, that would be around 150 miles. The other thing about a low range requirement is it can make 120V charging viable. If you don't drive more than an average of about 40 miles/day, you can probably get enough electrons through a wall outlet. We spent over two years charging our Bolt only through 120V, while our house was getting rebuilt, and never had an issue.Those are extremes. There are all sorts of use cases in between, which probably represent the majority of drivers. For some users, what's needed is more range. But I think for most users, what's needed is better charging. Retrofit apartment garages like Tim's with 240V outlets at every spot. Install more L3 chargers in supermarket parking lots and alongside gas stations. Make chargers that work like Tesla Superchargers as ubiquitous as gas stations, and EV charging will not be an issue for most users.
  • MaintenanceCosts I don't have an opinion on whether any one plant unionizing is the right answer, but the employees sure need to have the right to organize. Unions or the credible threat of unionization are the only thing, history has proven, that can keep employers honest. Without it, we've seen over and over, the employers have complete power over the workers and feel free to exploit the workers however they see fit. (And don't tell me "oh, the workers can just leave" - in an oligopolistic industry, working conditions quickly converge, and there's not another employer right around the corner.)
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