Volkswagen says electric cars generate lower profits than gas models
Volkswagen just shared that its electric cars aren't bringing in the same profits as its traditional gas models.
Chief financial officer and chief operating officer Arno Antlitz opened up about this during its latest financial update, even as VW keeps rolling out more electric vehicles to meet strict European Union emissions rules.
Volkswagen launches €31 billion cost-cutting plan
To deal with tighter profits and tough competition, Volkswagen is launching a massive €31 billion cost-cutting plan.
This could mean dropping up to half of its car models and rethinking what happens with brands like SEAT.
It is also looking at new ways to use some German factories, with future production allocations for four plants uncertain beyond 2031 to 2034, while still pushing ahead with electric vehicles.
All these changes are aimed at keeping the company stable while the auto industry keeps evolving.