Part 6/8:
Despite ambitious projections of producing three million EVs by 2025, reality proved disappointing. A mere 770,000 electric vehicles were sold in 2023, significantly lagging behind not only industry expectations but also competitors like Tesla, which sold nearly 1.81 million vehicles. Meanwhile, Chinese manufacturers outpaced Volkswagen, selling 4.6 million EVs in the same timeframe, highlighting the struggles of established brands in an increasingly competitive market.
To finance its extensive investment in future EVs, Volkswagen resorted to raising debt. From carrying $120 billion in debt in 2015, it skyrocketed to an astonishing $220 billion, compromising its financial stability.