VW has sold out electric vehicles in Europe and the United States

Volkswagen, the world’s second-largest electric vehicle maker by volume, has “sold out” of battery-powered models for the rest of the year in the United States and Europe, owing to supply chain constraints. Due to a scarcity of semiconductors as well as wiring harnesses built in Ukraine, the Wolfsburg-based business, which includes brands including Porsche, Audi, and koda, sold over 99,000 electric cars worldwide in the first 3 months of 2022.

In the same period, Tesla, the market leader, delivered over three times that number. However, VW CEO Herbert Diess stated that the company had a 300,000 electric vehicle purchase backlog in Western Europe due to strong demand. Customers filling orders in the United States and Europe will not receive their electric vehicles until 2023, he added. “We have extremely high order books and… order coming in on electric vehicles,” Diess continued.

“That counts for all of the models from ID.4, ID.3, and the Audi models — [all] are incredibly well regarded in markets, and koda models are also extremely well received in Europe.  In Europe and the United States, we are simply sold out on EVs,” he said. ” And it’s really picking up in China.” VW is aiming for a total of 700,000 EV sales in 2022 to catch up with Tesla. However, production has been restricted, especially in VW’s largest market, China, where the company sold only 28,800 electric vehicles in the first quarter due to coronavirus restrictions.

While this is a fourfold increase over the same period last year, it complicates VW’s goal of selling a minimum of 140,000 electric vehicles in China by 2022. Last year, the company fell short of its electric sales goals in the country. In recent weeks, the auto industry’s overall sales projections for the year have been lowered, as the world economy continues to struggle from increasing raw material costs and the conflict in Ukraine. Due to “adverse consequences from the coronavirus outbreak in China and continued chip shortages,” Bosch, Europe’s largest auto supplier, stated that its earlier forecast of 88 million cars sold in 2022 “probably won’t be realized.”

Chief financial officer (CFO) Arno Antlitz, on the other hand, expressed confidence in VW’s electric business. “From here, we expect a steady increase in battery electric car sales and market share in each quarter of 2022.”

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