The Volkswagen Group is planning to halve the number of models it makes

The Volkswagen Group has announced drastic plans to cut the number of models it makes by 50 per cent over the next few years. Yikes.

The plan to concentrate solely on “the most attractive market segments” is part of a “comprehensive package of measures” that’ll be implemented by 2030 in an effort to halt falling profits. There have also been rumours of factory closures and job losses recently, but neither was addressed in this latest statement.

“Our goal is clear: by 2030, we will make the Volkswagen Group the most attractive automotive company in the world – with iconic brands, inspiring products, leading technologies, robust financial results, reliable capital market performance and a team spirit in action,” said Group CEO Oliver Blume.

“With our future plan, we are moving into the next phase of transformation by our own means. We are making the Volkswagen Group faster, more resilient and more competitive: through less complexity, focused technologies, an even stronger alignment of products, development and production with regional markets, the reduction of overcapacities, a streamlined equity portfolio and significantly leaner structures. In this way, we are creating the conditions for sustained success – even in an increasingly demanding environment.”

So yes, as well as killing off half of its models, the VW Group will also reduce the number of options it offers on each car by up to 75 per cent. Oh, and we’ll see more platform and software sharing with “Group-wide synergies”. Remember we’re talking about VW itself here, but also Audi, Skoda, Seat, Cupra, Porsche, Lamborghini and Bentley.

There’s talk of “leaner management structures” to speed up decision making, and as a whole, the Group is also reducing its car-building target to nine million units per year. That’s down from the pre-Covid aim of 12 million.

No word yet on which models are on the chopping block, so feel free to start speculating in the comments below…