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VW Sales to Reach 10 Million in 2014?

By raccars Published

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The Volkswagen Group's plan to reach sales targets of 10 million units per year has exceeded expectations, with the company due to complete that task this year, four years ahead of schedule. The company has been reporting prediction-beating results over the past few years, which look set to continue for 2014.

Chairman of the group, Martin Winterkorn, has given a presentation in Berlin discussing financial results from 2013, which show a 2.2% increase in turnover for the year up to €197 billion. Total unit sales for the year reached 9.7 million cars, a 400,000 unit increase from the previous year. So far in 2014, the VW Group has posted a 4.7% sales increase, which bodes well for skipping past the magic 10 million mark by the year's end.

With an initial date set to reach that target of 2018, the VW Group has already revised that forward to 2015, thanks to positive results. However, the company has gone from strength to strength worldwide, with the single exception of South America, where it was hampered by local financial weakness and a model range past its best.

Almost all of the brands under the group's umbrella have reported sales growth over the past year. Bentley performed particularly well, with sales past the 10,000 mark – that's nearly 19% more than in 2012. Seat also rose by 10.65, shifting 355,000 units and Audi production went up to 1.57 million for growth of 8.3%. The eponymous VW brand managed sales of 5.93 million units, which marks a 3.4% jump. Even niche brands, such as Porshe and Lamborghini, outperformed the previous year's figures.

The one underperforming name was, surprisingly, Skoda. The budget Czech firm lost about 2%, which the VW Group has blamed upon market turmoil, combined with the demands of new product development and manufacture and the resulting lack of supply. However 2014 already seems to show the brand in recovery, with 10.6% growth in January and February this year over the same period in 2013. Furthermore, that new product investment is coming to fruition with new versions of the Fabia and Superb about to be unleashed upon the market.

Nonetheless, company executives haven't fallen into complacency, exercising natural caution about ongoing financial instability, brutal market competitiveness, exchange and interest rate turmoil and volatility in raw material pricing.

The company's future plan is based around continuing to imbue quality into new products and investing in employees to keep it at the head of new research and developments in manufacturing. The company currently has more than 100 new models in the pipeline.

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