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Volkswagen of America records the Worst Drop in Sales of 25%

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Published on : Dec 02, 2015

Sales for Volkswagen of America dropped last month as the inventories for dealers got tighter and sales remained frozen due to emission violations. The company reported that the sales were down by 25% to 23,882 units, which is the lowest figure for second time in a row. It further added, that this decline was the steepest after the Great Recession. 

This decline indicates the 2,381-unit drop in the sale of non-diesel vehicles along with drop due to TDI sales freeze. The sales freeze further included Touareg SUVs that are equipped with 3.0-liter V-6 diesel engine along with 2.0-liter models. The company has blamed this drop on the stop-sales orders. 

Mark McNabb, COO of VW of America stated that the company is working on getting an approval for the negatively impacted TDI vehicles. However, he further added that the company is grateful for patience that dealers and customers have shown.

The sales figures for last year show that diesel units accounted for 5,462 out of the 31,725 VW vehicles sold in November last year. This year, post adjustment of the loss of diesel vehicles, the deliveries of VW models dropped by 2,381 units, which is a decline of 9%. The biggest hit was felt by Jetta compact sedan at 23% and Passat midsize sedan at 60%. In the past 11 months, the company’s U.S. sales have been down by 4% to a figure of 318,484 units. About 650 VW dealers in America are struggling to keep their inventories and finally reached the lowest stock level in November last year.