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July 29, 2021 05:04 AM

VW must change EV approach in China, Diess says

Automaker plans new sales formats to appeal to younger customers

Reuters
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    VW ID4

    The VW ID4 has had a slow sales start in China.

    FRANKFURT -- Volkswagen Group must change its approach to how it sells electric vehicles in China, the world's largest car market, CEO Herbert Diess said, in a response to poor EV sales there.

    "Sales are picking up but it requires focus and different approaches as the customers for the EVs are much younger and different to our customer base that we have for more traditional brands like VW in China," Diess told journalists after first-half results were released.

    By the end of the year, VW wants to sell between 80,000 and 100,000 of its ID electric cars in China. In the first half, VW sold 18,285 EVs in the market.

    "We are noticing that we have to change our approach," Diess said.

    "We have the financial power, we have the sales network, we are coming forward with new formats in the shopping malls, we are becoming much more digital and it's going fast because we are much faster in China than we are in the rest of the world.

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