Automotive - - Feb 22,2017
Despite the diesel emission scandal and dwindling demand in the US, Volkswagen sold 10.31 million cars in 2016
Japanese automaker Toyota, which had been the world’s largest automaker in seven out of the last eight years has been dethroned by Volkswagen in 2016. Earlier in 2011, GM had also captured the top spot.
Volkswagen sold 10.31 million cars, a hike of 3.8 percent from 2015. Toyota sold 10.18 million cars, an increase of 0.2 percent from 2015. GM, the third-largest automaker sold about 9.5 million cars, a decline of 3.1 percent from 2015.
The main reason for the success of Volkswagen was the ballooning sales in china, where it sold 3.98 million cars, an increase of 12.2 percent from the previous year. In 2016, sales in the US
, fell 2.6 percent to 591,100 units.
The prospect for Volkswagen is also very strong. For 2017, Chinese sales could even surpass those of entire Europe to become Volkswagen’s largest market. Meanwhile, Volkswagen's Europe sales registered an increase of 4 percent to 4.21 million cars in 2016.
The Volkswagen group which also includes global brands, like Porsche and luxury line Audi, has recently expanded business in the SUV market this year. This includes the 7-seater Volkswagen Atlas for US and China and the Skoda Kodiak for Europe, which can help increase the sales even further in 2017. In India, where currently crossover and SUV segment are the fastest growing segments, the company has plans to introduce the small Polo-based SUV.
Even though the sales figure looks impressive, 2016 hasn’t been easy for the German giant. Earlier in 2016, the company had taken a blow to its impeccable global brand as it pleads guilty to the criminal charges in the U.S. court of law for the use of rigged diesel engines with inbuilt software to cheat the emissions laws. Eventually, Volkswagen paid about $22 billion as settlements.