Volkswagen shifts gears: Investing €60B in combustion engines
The transition to electromobility is not progressing as quickly as expected, causing manufacturers to reconsider their previous plans. Volkswagen, for example, has revised its earlier strategy.
1:24 PM EDT, June 7, 2024
As recently as last year, Volkswagen projected that electric cars would constitute about 80% of European sales by the decade's end. However, it now appears that such outcomes were overly optimistic. The German automaker, once fully committed to the development of electromobility, now plans to diversify its approach.
During a recent conference in Munich, VW's Chief Financial Officer, Arno Antlitz, confirmed this shift. He admitted that the company plans to spend around €60 billion on further engine development and "keep our combustion cars competitive."
"The future is electric, but the past is not over," he diplomatically explained. It must be acknowledged that this is quite a bold statement from a brand representative that, after 2033, aimed to sell only electric cars.
Volkswagen is not the only company that has revised its plans regarding electromobility and decided to extend the life of combustion engines. Recently, Ford and Mercedes, both previously staunch promoters of an electric future, also announced their intention to sell combustion engines for as long as possible.
