The German car companies Mercedes and Volkswagen are in a crisis: in the first quarter of 2025 the win was dramatically reduced in the year. One of the reasons: China’s question for the German car brands has also decreased.
After the weak last year, VW also started in the current year with a decrease in profit: the Bottom Line was that winning Europe’s largest car manufacturer in the first quarter was almost 41 percent back to EUR 2.19 billion, as the German company in Wolfsburg announced. At Mercedes, the business profit fell by a good 40 percent to EUR 2.3 billion.
VW complains about fewer things in China
In addition to the well -known billions of special taxes, it was also negatively important that the group on the important market of China and its joint ventures earned less there. VW had a higher loss with its battery transactions. The sale of the group, on the other hand, rose by almost 3 percent to EUR 77.6 billion.
Dieselskandal batches too
Volkswagen had already submitted provisional figures on day -Day business. Special problems such as CO₂ provisions in Europe, the renovation of the software daughter Cariad and reserves for the diesel scandal caused special costs of around 1.1 billion euros and therefore left the operational result by around 37 percent to EUR 2.9 billion.
“As expected, the Volkswagen Group started mixed results in the financial year,” said Arno Antlitz, CFO of the Volkswagen Group. “Our cars are very well received by our customers. The order intake in West -Europe has risen considerably and our order books are filling in quickly.” The sale of E-cars has increased considerably in Western Europe.
VW: difficult situation in “rapidly changing world”
“Precisely because the global economic framework is currently so uncertain, we have to concentrate on the things that we can influence ourselves,” said Antlitz. “That means: for our strong reach of vehicles, we must ensure a competitive cost structure so that we can remain successful in a rapidly changing world.”
Mercedes-Benz said that because of the unclear American customs policy, people could no longer give an annual prospect. The company spoke about a solid result in a dynamic market environment. The sales efficiency of the core division of Mercedes-Benz Cars continued to erodize from 9.0 to 7.3 percent.
With maintenance and announced American import tasks, the German Dax Group expects an essential effects on the result towards the end of the year. However, the customs policy of US President Donald Trump and the effects on the car market are so unclear that the business development cannot be reliably assessed for the rest of the year.
Source: Krone
I am Wallace Jones, an experienced journalist. I specialize in writing for the world section of Today Times Live. With over a decade of experience, I have developed an eye for detail when it comes to reporting on local and global stories. My passion lies in uncovering the truth through my investigative skills and creating thought-provoking content that resonates with readers worldwide.
