Volkswagen, the carmaker with a name that loosely translates in German to ‘the people’s car company’, looks set to distance itself from its entry-level heritage as part of a push to become a more premium brand.
The news comes via the brand’s chief financial officer Arno Antlitz. Speaking to the Financial Times, he said that Volkswagen is poised to cull dozens of internal combustion engine petrol and diesel models; a change the report labels as “profound”.
“The key target is not growth,” Antlitz said. “We are [more focused] on quality and on margins, rather than on volume and market share.”
Antlitz indicated that Volkswagen Group will be reducing its internal combustion line-up by 60% over the next eight years, with the eight-year deadline corresponding to the ban of the sale of ICE vehicles in regions like the UK.
His words are a stark contrast to Volkswagen’s previous motivations. The marque’s former chief executive Martin Winterkorn had previously hoped to make Volkswagen the world number one for delivery volume by 2018.
The report notes that Volkswagen’s desire to burrow into the premium market is part of a wider trend in the motoring world. Brands like Mazda and Kia have made similar moves, improving the build quality and material quality of their models in recent years.
It’s unclear what Antlitz’s words could mean for some of the brand’s most iconic nameplates, including the Polo and Golf, as well as what it could mean for the brand’s commercial division.
