The Volkswagen group is excepting their electric vehicles (EVs) to be as profitable as their internal combustion engine (ICE) vehicles sooner than planned.
Previously, VW predicted that it would take between two and three years. However, sales are doing better than expected.
Diess had this to say during the German automaker’s annual shareholder meeting on Thursday.
We expect that the e-mobility business will be as profitable as the combustion-engine business earlier than planned. Through good crisis management, we are financially robust and have strengthened our resilience. (via Automotive News)
Diess did not provide a specific timeline for when the EV business would match its combustion-engine profitability.
The company also provided a few more updates across the board.
Last year, VW Group delivered 452,000 EVs globally. While in 2022, the automaker will almost double production to 800,000. By 2023, VW plans to build 1.3 million vehicles.
VW noted that they might need to increase prices across all brands this year due to rising raw material costs.
Finally, Diess noted that now is an excellent time for an initial public offering for Porsche. Porsche is currently planning for a fourth-quarter IPO.
The company aims to overtake Tesla as the number one EV marker by 2025.
This might seem like a steep hill to climb, but VW does have the benefit of being able to sell across luxury, premium and volume brands.