VW tightens belt after global sales drop

Though Volkswagen is tightening its belt and reassessing the validity of some projects in the wake of a drastic sales drop triggered by COVID-19, development of the all-electric ID3 won’t be affected.

VW passengers car sales dropped by about 25% during the first three months of the year.

Sales that started strongly tumbled once the effects of COVID-19 struck during February.

VW’s chief operating officer, Ralf Brandstatter, says the global pandemic “severely impacted our business as the quarter progressed.”

VW’s current focus is ensuring liquidity and it’s reviewing all projects “to reassess their importance to our short-term needs.”

However, he says there’ll be no impact on strategic products like the new ID.3 electric car.

In the first three months of 2020, VW delivered a total of 1,091,500 vehicles (same period of the previous year: 1,456,400).