Volkswagen CEO: Tesla and Chinese EV Makers Become Our New Rivals

ss didn’s specify what resulted in Volkswagen’s vulnerability. However, the global auto industry has been suffering from effects of global conflicts, especially supply chain woes and and rising prices in the ongoing Covid-19 pandemic.

A number of automakers in China had to shut down their factories since March, when Shanghai and Jilin, two automobile manufacturing hubs, reported the upward trend of Covid cases. In March alone, outputs of FAW Car Company’s luxury car Hongqi slumped 73% from a year ago, while FAW-Volkswagen, SAIC-GM, and Beijing Benz saw the year-over-year decline of 45.8%, 31.3% and30.7% in their production respectively, according to China Passenger Car Association (CPCA). Volkswagen Group China said its Shanghai factories began to gradually resume production on Monday, ending a temporary suspension since March 31.

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