Specialist
Former Director, Corporate Strategy, China at Volkswagen AG
Agenda
- Volume and pricing expectations across Volkswagen's (ETR: VOW3) models – demand outlook for recent and upcoming launches
- China market challenges, including product portfolio, software capabilities and dealership strategy
- EV (electric vehicle) platform assessment and software competitiveness
- Operating profit outlook across BEVs (battery electric vehicles) and PHEVs (plug-in hybrid electric vehicles) vs traditional ICE (internal combustion engine) models
Questions
1.
What is your 2021 volume outlook for the total Volkswagen brand? We know that just over 1.5 million units were sold in H1 2021, so what do you expect in H2?
2.
You mentioned the semiconductor shortage is at a stabilisation point. Does that imply decent stock for the foreseeable future, or might there still be shortages into 2022?
3.
Volkswagen expects Q3 2021 to still be very volatile. It wouldn’t rule out further changes to production. Is that in line with your expectations for three million units, so matching performance in H1 2021?
4.
What might be the EV [electric vehicle] share of the three million units for 2021, BEV [battery electric vehicle], PHEV [plug-in hybrid electric vehicle] or combined?
5.
What do you think is driving the sluggish volume growth for EVs in China?
6.
Volkswagen is committing to EV volumes of 80,000-100,000 in China. How realistic is that?
7.
The ID6 launched over summer 2021. How successful do you think this model will be in China?
8.
Why is Volkswagen bringing the ID3 to China, given the known challenges around the model?
9.
What is needed in Volkswagen’s BEV product line-up to drive further growth?
10.
Why is Volkswagen lagging vs Xiaopeng and Nio from an infotainment and driver assistance standpoint?
11.
What is behind the problems with the agency model in China? Are improvements happening there, given the sales turnaround?
12.
What additional changes are needed to drive volume growth for BEVs in China?
13.
How do the ICE [internal combustion engine] challenges in China differ to the EV challenges?
14.
Volkswagen wants to reach double-digit market share in the US. How do you think it can do that? How realistic is it?
15.
What do you think about Volkswagen’s competitiveness vs Tesla in BEVs?
16.
What do you consider the major issues with the current software offered on the ID models?
17.
Do you expect some M&A? Could Volkswagen acquire smaller software providers to improve its internal capabilities?
18.
What is the opportunity to monetise over-the-air software updates?
19.
Why is Volkswagen combining the MEB [Modular Electrification Toolkit] and PPE [Premium Platform Electric] platforms into the SSP [Scalable Systems Platform]?
20.
What is your operating margin outlook for BEVs vs ICE models?
21.
We are hearing about margin parity between EV and ICE vehicles in 2-3 years. How do you assess that statement with regards to margin growth in BEVs?
22.
What do you think about the movement towards in-housing or at least partnering on battery supply? How might that improve margins?
Gain access to Premium Content
Submit your details to access up to 5 Forum Transcripts or to request a complimentary one week trial.
The information, material and content contained in this transcript (“Content”) is for information purposes only and does not constitute advice of any type or a trade recommendation and should not form the basis of any investment decision.This transcript has been edited by Third Bridge for ease of reading. Third Bridge Group Limited and its affiliates (together “Third Bridge”) make no representation and accept no liability for the Contentor for any errors, omissions or inaccuracies in respect of it. The views of the specialist expressed in the Content are those of the specialist and they are not endorsed by, nor do they represent the opinion of, Third Bridge. Third Bridge reserves all copyright, intellectual and other property rights in the Content. Any modification, reformatting, copying, displaying, distributing, transmitting, publishing, licensing, creating derivative works from, transferring or selling any Content is strictly prohibited
