Volkswagen Brand expects to double sales of electric vehicles in 2021
Volkswagen plans to sell more than 450,000 electric vehicles this year alone, doubling it’s EV’s sales from last year and it’s targeting more than 1 million sales for the wider group.
Volkswagen is aiming to increase yearly sales revenue and increase profits at the same time significantly.VW is doing huge efforts to overtake Tesla and become the world’s largest electric car manufacturer.
Investors saw a good opportunity in VW’s plans and efforts and their stocks immediately began to rise as much as 8% to its highest since June 2015.
The German auto brand says it expects fully electric vehicles to account more than 70% of total sales in Europe vehicle sales by 2030, much higher compared to their previous target of just 35%
Volkswagen brand plans to invest 16 billion euros in order to electrify it’s brand by 2025, and aims to reduce fixed costs by 5% by 2023, boost productivity at it’s plants by 5% each year and at the same time to reduce raw material costs by 7%.
This new strategy called “Accelerate” is supposed to generate hundreds of millions of euros in revenue in the upcoming years for Volkswagen brand.
Volkswagen’s stock has almost doubled in price in the last 4 months, boosting Volkswagen’s market capitalisation to more than 130 billion euros.
The brand is already mass producing electric vehicles like ID.3 and ID.4 at it’s plant located in ZWICKAU, GERMANY.
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Volkswagen plans to take control of its battery supply chain in order to expand it’s fast charging networks which obviously draws inspiration from Tesla’s battery-manufacturing and charging-network strategies.
The brand wants to make it clear that they wish to remain one of the world’s largest automakers and they believe the only way to do so is to make the switch to zero-emission vehicles.
Do you think Volkswagen stocks will grow more in the future ?