#Strategy

Volkswagen Group and NXP Semiconductors today announced ahead of the International Suppliers Fair (IZB) in Wolfsburg that they had agreed on a strategic partnership. NXP’s S32K5 family of microcontrollers (MCUs) is intended to serve as an important building block of Volkswagen Group’s future software-defined vehicle (SDV) architecture, supporting zonal control across all brands and vehicle segments. The first vehicle featuring the new architecture is planned for 2027.

Audi is taking a major step in its global growth strategy with plans to establish its first U.S. production site in Georgia. The company intends to invest around $4 billion and create approximately 4,500 jobs. Construction of the plant, designed for an annual production capacity of up to 200,000 vehicles, is scheduled to begin in 2027, with production planned to start in the early 2030s. With premium SUVs tailored to North American customers and manufactured locally, Audi aims to unlock significant growth potential in one of the world’s most important premium markets. The planned investment intends to mark a long-term commitment to the United States and to establish North America as a third major pillar of Audi's global production network alongside Europe and China.

At today’s second revision talk, Volkswagen AG and IG Metall agreed to open collective bargaining negotiations. These will start on November 24, 2026, at the Emden site. Negotiations will continue on December 15, 2026, in Zwickau. The company’s objective is to reduce labor costs as quickly as possible, thereby contributing to a sustained improvement in competitiveness as part of the Group’s Future Plan 2030. The overarching priority is to ensure the company’s long-term viability.

Under the theme “For Europe”, the Volkswagen Group demonstrated on the day before the opening of the Paris Motor Show how Europe’s industrial strength can be translated into competitive products, technologies and value creation. At the Palais de Tokyo, the focus was on the Electric Urban Car Family, the consistent use of Group synergies and close cooperation between business and policymakers. The shared message: Europe has industrial substance, technical expertise and innovative strength. The key is to combine and scale these strengths more quickly and industrialize them in Europe.

With the Electric Urban Car Family, Volkswagen Group Design demonstrates how the strength of a multi-brand group can be combined with clearly differentiated brand identities. Built on a common technology platform, the Volkswagen ID. Polo and ID. Cross, the CUPRA Raval and the Škoda Epiq share more than 80% of their components while embodying the individual character and distinctive design language of their brands. Paris also marks Andreas Mindt’s first appearance in his role as Head of Volkswagen Group Design. Together with his team, he sets the strategic framework for the Group brands, ensuring that each brand retains a distinctive identity in terms of design, character and customer experience: “Our task at Volkswagen Group Design is to create the conditions for strong and distinctive brands. We leverage the Group’s scale, expertise and synergies wherever it makes sense, while strengthening what makes each brand unique. The Electric Urban Car Family brings this approach to life.”

With its clear commitment 'For Europe', the Volkswagen Group underscores its role as a driving force for Europe's future and competitiveness. 'For Europe' provides momentum for close cooperation between business and politics in Europe.

With "The Group Strategy – Mobility for Generations", the Volkswagen Group is pursuing a clear strategic roadmap up to 2035. The claim: to play an active role in shaping the transformation of the automotive industry – as "The Global Automotive Tech Driver".

Automotive innovations now have a major impact on vehicle functions and the driving experience. Car-related technology is advancing rapidly. To shape the mobility of tomorrow, the Volkswagen Group is developing solutions in areas such as electric mobility, battery technology, software, artificial intelligence and automated driving. Our automotive innovations include new vehicle and drivetrain technologies as well as digital solutions across the entire value chain.

Volkswagen Group, PowerCo SE and Gotion High-tech have agreed to deepen their strategic partnership and jointly accelerate the development of a regional battery supply chain for Europe. Building on their cooperation since 2020, the partners agreed on establishing three joint ventures at the Valencia (Spain), Šurany (Slovak Republic) and Kenitra (Morocco) sites for the industrial production of LFP battery cells and cathode material. The agreement also covers joint procurement and sales activities in Europe. Separately, Volkswagen Group has announced that it has entered into definitive agreements to sell 5.3 % equity stake in Gotion to optimize equity structures and support long-term strategic synergies. Upon completion of the transaction, Volkswagen will continue to hold a significant stake in Gotion.

The Group comprises ten brands from five European countries: Volkswagen, Volkswagen Commercial Vehicles, ŠKODA, SEAT, CUPRA, Audi, Lamborghini, Bentley, Porsche and Ducati. In addition, the Volkswagen Group offers a wide range of further brands and business units including financial services. Volkswagen Financial Services comprises dealer and customer financing, leasing, banking and insurance activities, and fleet management.

We take a holistic approach to sustainability, encompassing environmental, social and economic aspects, and work to identify and reduce the impacts of our business activities along the value chain. The basis for this is our Group sustainability strategy, regenerate+. It serves as our KPI-based management framework for environmental, social and business topics. For us, this means translating responsibility into concrete programs, metrics and reporting processes and disclosing our progress.

We are undergoing a profound transformation. With our Group sustainability strategy regenerate+, we have created a management framework for environmental, social and business topics. It defines key areas of action, metrics and reporting processes and supports us in presenting progress transparently.

Employment and site protection until 2035 and investments totaling a cumulative 2.1 billion euros in the Zuffenhausen and Weissach sites: these are the central cornerstones of Porsche AG’s Future Package, which the Executive Board and the General Works Council have negotiated – together with IG Metall and the Südwestmetall employers’ association.

The Brand Group Core (BGC), the organizational entity combining the volume brands of the Volkswagen Group, recorded an operating result of 3.61 billion euros in the first half of 2026, 4.5 percent more than in the corresponding prior-year period. Year-on-year, the operating margin improved slightly to 4.9 percent.