Volkswagen AG reported its first ever fall in sales since 2002 after the scandal-hit carmaker posted a 2% decline in 2015 sales at 9.93 million vehicles. Volkswagen was the world’s second largest auto maker in 2014, just behind Toyota Motor Corp.

Commenting on the performance Matthias Müller, CEO of Volkswagen AG highlighted that the results were positive given the current circumstances and said "Delivering almost 10 million vehicles is an excellent result, particularly in view of the continued challenging market situation in some regions as well as the diesel issue in the final quarter of last year.”

“While developments on markets in Brazil and Russia had a noticeable impact on deliveries by our brands, we made advances in Europe. We also recorded further growth in the North America region and in the USA."

In September, Volkswagen admitted to installing a cheat-software in nearly 11 million diesel vehicles world-wide that allowed them to perform better on emissions tests than on the road. The scandal has severely affected the company’s namesake Volkswagen brand, Audi, Porsche, Seat, Skoda and its commercial vehicle brands as well, with scores of lawsuits against the Group from unhappy customers globally.

According to Müller, 2016 will be no less challenging: "On the one hand, as a global company we must handle the situation on world markets where trends remain mixed. And on the other, it is our wish and intention to systematically make the Group fit for a successful future." He said that not only involved overcoming the crisis, but above all related to the fundamental realignment of the Group.  Müller added that VW is currently preparing its ‘Strategy 2025', which is the most important step towards a modern Volkswagen.

Region-wise sales

In 2015, improving European demand helped to offset sharply lower sales for Volkswagen in South America, where sales in Brazil plunged more than 38%. Its sales in Russia dropped 37% last year.

Western Europe saw a 4.8% rise in sales to 3.43 million vehicles in 2015. Growth was particularly strong in Spain (+16.1 %) and Italy (+8.8 %). As a result of these developments, the Volkswagen Group delivered more than 4 million units in one year for the first time in the overall European region.

The company also recorded growth in North America in 2015, handing over 931,800 vehicles there. With 607,100 units – an increase of 1.2 % – the US accounted for the maximum share in the region. Group deliveries in the tense South America region, however, continued to fall (-29.8 %). This trend is chiefly attributable to deliveries in Brazil, which totalled 389,900 units.

The Group delivered 3.93 million vehicles in the twelve-month period in the Asia-Pacific region, of which 3.55 million units were handed over to customers in China, the Group's largest single market.