Volkswagen vehicle deliveries fell 1.4 % year-on-year in 2024, the German carmaker said on Thursday, dragged down by fierce competition in China. In China, VW's most important market, sales plunged by 8.

The Volkswagen brand's global deliveries fell 1.4% to 4.8 million vehicles in 2024, with battery-electric sales down around 2.5%, Europe's top carmaker said on Thursday.

An “elimination round” is likely to cull weaker players in a market dominated by EVs and plug-in hybrids. Among the early losers are foreign brands.

This year has been troubling for almost all foreign carmakers in that country, which boasts the world’s largest car market.

With car exports up 25% to 4.8 million units, according to the China Passenger Car Association (CPCA) data, China probably ranked as the world's largest auto exporter ahead of Japan for a second consecutive year in 2024 despite additional tariffs on China-made electric vehicles the European Union introduced in late October.

The redesigned Model Y, set for delivery in March, targets increased market share as Tesla faces competition from Xiaomi and BYD

Volkswagen Group China and XPeng have signed a memorandum of understanding (MoU) to establish one of China's “largest super-fast” charging networks. This collaboration will leverage the technological expertise of both companies to provide an extensive charging infrastructure for electric vehicles (EVs) across China.

Volkswagen saw sales drop in China and Europe, but they were practically offset by significant gains in North and South America

Xpeng and Volkswagen are deepening their ties in China with the construction of a large super-fast charging network across the nation. The network will include more than 20,000 chargers across 420 cities and, in the future, could grow to include co-branded charging stations.

Volkswagen Group China said on Monday that it is to build an ultra-fast charging network with Xpeng, which is to feature over 20,000 terminals across 420 cities and regions in China. The move follows the two companies' partnership in developing electric vehicles in the Chinese market, the first of which is expected to hit the market in 2026.

Volkswagen (OTCPK:VLKAF) announced on Thursday that it delivered around 4.8 million vehicles globally in 2024, despite headwinds such as sluggish economic activity, political challenges, and intense competition in regions like China.