The automaker has been laying the groundwork for goals like these.
Volkswagen is still working on fixing the issues it caused with emissions scandals, but we must say that the automaker's efforts to transform its image to one of clean motoring are going well. The company has recently posted its best sales since 1973, and vehicles like the Volkswagen ID.4 have been extremely popular. More EVs are on the way, including the long-awaited ID.Buzz van. These new EVs will form part of the Volkswagen Group's recently announced New Auto strategy. This strategy also includes preparations for the brand's third giga factory, and along with other plans that the company has, aims to see VW sell 50% of its new cars as EVs by the end of the decade.
The Volkswagen Group says that it wants to transform itself into a "software-driven mobility company". Not only will these new cars be electric but they will also be safer and smarter as VW continues to chase the goal of autonomous personal mobility. But the electrification phase of the plan is the most important right now. By 2030, the Group plans to reduce its carbon footprint per car by 30% over its lifecycle compared to 2018. During the same period, battery-electric vehicles are expected to rise to 50% while ten years later, the Group expects nearly 100% of all new vehicles in major markets to be zero-emission.
Although this goal will likely become more ambitious as the years draw closer, the Volkswagen Group also intends to operate in a fully climate-neutral manner by 2050. To help achieve this, Volkswagen has set aside €73 billion (over $83 billion) for future technologies like autonomous driving from 2021 through 2025. Investments in electrification and digitalization will also be further increased.
CFO Arno Antlitz sums up the Group's goals: "We intend to install industry-leading platforms across strong brands, to be able to have more scale and capture even more synergies in the future [...] we will continue to invest in autonomous driving and mobility services. During this transition, our robust ICE business will help to generate the profits and cash flows to do so."
Times are changing, but Volkswagen looks ready to overtake Tesla as the leading EV manufacturer by the end of the decade, just as planned.