Volkswagen Group Future Plan 2030 Targets Profitability

Volkswagen Group Future Plan 2030 Sets Transformation Targets

On September 3, Volkswagen Group’s Supervisory Board unanimously approved Future Plan 2030, a transformation program designed to strengthen competitiveness and profitability through more efficient operations, a streamlined vehicle portfolio, and investment in new products, technologies, and future growth areas. The Volkswagen Group Future Plan 2030 sets clear financial and operating objectives through the end of the decade while introducing substantial changes to the Group’s product range, manufacturing footprint, workforce, and investment portfolio. The program reflects the Group’s assessment that its European production capacity currently exceeds demand and that significant structural adjustments are required to support a more competitive long-term operating model.

Financial and Investment Objectives Through 2030

Under the Future Plan 2030, Volkswagen Group is targeting annual sales of nine million vehicles by 2030, alongside a 9% operating margin and an operating result of around EUR 31 billion. To support its product, technology, and growth priorities, the Group plans total capital expenditure and research and development investment of EUR 135 billion between 2027 and 2031. These targets establish a defined financial framework for the transformation program, linking higher operational efficiency with continued investment in future products and technologies. The plan therefore combines cost and portfolio measures with capital allocation intended to support growth areas through the next decade.

Portfolio and Complexity Reduction

The transformation will also significantly reduce product and organizational complexity. By 2035, the Group plans to cut its model portfolio by around 50% and reduce its offering complexity by approximately 75%. The scale of these reductions indicates a broad restructuring of how vehicles and variants are planned and managed across the Group. The objective is to create a more streamlined portfolio that can be supported with more efficient operations while maintaining investment capacity for new products and technologies. The portfolio changes form a central part of Future Plan 2030 and complement the Group’s wider effort to improve profitability and competitiveness.

European Capacity and German Plant Challenges

The Supervisory Board also acknowledged that Germany is facing a significant production-capacity imbalance within the Group. Volkswagen’s European capacity currently exceeds demand by more than 500,000 units, while a competitive future production allocation for the Emden, Zwickau, Hanover, and Neckarsulm plants cannot currently be secured on a staggered basis from 2031 to 2034. In parallel and in addition, alternative uses for these plants are being assessed. The production-allocation challenge adds a major manufacturing dimension to the transformation program and indicates that the Group is evaluating both capacity adjustments and alternative industrial uses as part of its longer-term planning.

Workforce and Investment Portfolio Adjustments

To advance the transformation program and remain competitive, Volkswagen Group expects group-wide workforce adjustment of around 50,000 positions, including management roles. The plan also calls for the Group to streamline its investment portfolio by one-third. Together, the workforce and investment measures are intended to reduce structural complexity and align resources more closely with the Group’s future priorities. The scale of the planned workforce adjustment underscores the extent of the organizational changes associated with Future Plan 2030, while the investment-portfolio reduction indicates that capital allocation will become more selective as the Group focuses on products, technologies, and growth areas considered important to its competitiveness through 2030 and beyond.

Frequently Asked Questions

What are the main targets of Volkswagen Group Future Plan 2030?
Volkswagen Group’s Future Plan 2030 targets nine million annual vehicle sales, a 9% operating margin, and an operating result of around EUR 31 billion by 2030. The program also includes EUR 135 billion in capital expenditure and research and development investment between 2027 and 2031. By 2035, the Group plans to reduce its model portfolio by around 50% and offering complexity by approximately 75%. It also anticipates workforce adjustment of around 50,000 positions, including management roles, while reducing its investment portfolio by one-third.