Volkswagen reports its worst results in a decade - Semafor
Volkswagen reported a bigger-than-expected third-quarter loss, the latest major legacy automaker to be hammered by competition with Chinese rivals both at home and abroad. The disappointing results — its worst in a decade — come after fellow German carmaking giants Mercedes-Benz and BMW cut their earnings outlooks on worsening consumption in China.
Chinese automakers are also grappling with brutal domestic competition and plummeting sales in the world’s second-biggest economy, and as a result are expanding an overseas sales push that is piling further pressure on Western firms. The shifts underline broader global frustration with China’s twin-track economy, with policymakers and executives accusing Chinese firms of hollowing out economies elsewhere. “China is no longer a growth engine,” VW’s China CEO told Handelsblatt.
