Volkswagen wants to treble its market share in the US in the next five years.
In an interview with the Financial Times Deutschland, Volkswagen’s US chief, Adrian Hallmark, said that new models in new segments would allow the brand to increase its share from 1.9% today to 5% by 2012.
Nevertheless Volkswagen is struggling to return to profitability in the US. According to Hallmark, it is possible that Volkswagen will be profitable in the US in 2008, but achieving a positive result will be difficult. For 2009, however, “it is a must”.
The model offensive will not in fact start until 2008 – 2007 is not expected to be a growth year at all.
Specific models offering growth opportunity in the US are a new minivan and the small Tiguan SUV.
The weak dollar is amongst a number of problems that Volkswagen has had in the US market. Hallmark told the Financial Times Deutschland that this is the main reason that VW has not recorded a profit in the US.
To reduce the effect, Volkswagen wants to reduce the number of overseas suppliers. He said, “we want to increase the number of suppliers from the dollar zone.”