Volkswagen reports May gains

With the help of the new 2009 Volkswagen Golf, Volkswagen Group AG outperformed its competitors in May and grabbed more share of the world’s car market. The group posted massive gains in Germany and China – it’s two largest markets – reporting a total gain of 1.5 percent to 556,700 units.

The Volkswagen brand itself reported a 10 percent gain in May thanks to the popular Tiguan SUV and the Golf hatchback. Sales for China based models like the Lavida and the Passat Lingyu were also strong.

“We have to some extent been able to uncouple ourselves from an overall market that remains very weak thanks to our strong, young product range plus the additional sales advantage that comes from the comparatively high residual value of our used cars,” Volkswagen sales chief Detlef Wittig said.

Government scrapping incentives in Germany also helped Volkswagen boost sales, helping group deliveries increase in Germany by 36 percent.

– By: Omar Rana

Source: Reuters