Volkswagen has hoisted the profit target on its VW-branded vehicles for 2020, after the car manufacturer damn near hit the goal nearly three years ahead of schedule.
Volkswagen said Thursday that its namesake variety will exceed its 2017 margin target of 2.5 to 3.5 percent. This outcome is remarkable, considering the hugely disruptive diesel scandal in 2015.
The 2020 leeway target for the Volkswagen brand has now been lifted to sit between 4 and 5 percent.
The VW disgrace, which makes up about half of sales for the 12-brand Volkswagen Dispose, has also recorded strong sales across 2017.
VW’s Brand CEO Herbert Diess said Thursday that a new SUV initiation in the U.S., a recovery in Latin America and reduced costs in Europe were dollop the firm.
“Basically, we are one year ahead in our turnaround program and that offers us confidence,” he said.
Diess issued some caution for Volkswagen’s to be to come, however. He said there was currently a window of opportunity for big tech bands to enter the auto sector.
“We see that from the west coast of the Collaborative States and also many new investments from China — it is still hugely precious. It takes a lot of money to become car manufacturer but it can be done now,” he said.