VW Group reports Q1 2026 deliveries of 2.05 million vehicles, down 4% year over year, with gains in South America, Western Europe, and Central and Eastern Europe, but declines in China and North America.

Audi stabilized or modestly increased market share in Europe, with Germany up 3.8% to 50,308 vehicles and Europe ex-Germany up 5.9% to 123,724 vehicles.

North American deliveries fell by more than 13% to 205,500 vehicles, with the US retreat at 20.5%, amid tighter trade and political measures affecting sales.

The company plans a China rebound through a wave of locally developed new models, while aiming to sustain European growth with new urban electric vehicles.

VW faces intensified competition from BYD and Geely, pressuring VW’s traditional advantages.

VW is pursuing partnerships in China, including Xpeng, and Audi–SAIC collaboration to develop EV platforms for the Chinese market.

Europe remains strong in orders, with the order bank 15% higher than at the end of 2025, and BEV orders rising driven by models such as VW T‑Roc, CUPRA Terramar, Škoda Elroq, Audi Q3, and Porsche Cayenne Electric.

Škoda is preparing to exit China as buyers shift to locally made EVs, while Porsche faces softer luxury demand.

VW remains the market leader in China for now, defending share through EV subsidies policy changes, though this leadership is not expected to last through year-end.

Global PHEV deliveries rise about 31% year over year, with demand for modern PHEVs and BEVs reaching up to 143 km electric range.

The article notes AI-assisted, editor-reviewed reporting.

Best-selling BEVs for the quarter include Škoda Elroq (29,700), VW ID.4/ID.5 (25,000), Škoda Enyaq (22,100), VW ID.3 (19,600), Audi Q4 e-tron (15,600), and VW ID.7 (14,500).