Volkswagen celebrates 25 million vehicles made in Brazil – and a 52% sales increase

By Redação AutoIndústria | 6/21/23 | Translated by Jorge Meditsch

A New Virtus unit produced at Volkswagen’s pioneer plant in São Bernardo do Campo, SP, marked 25 million vehicles produced in Brazil by the company. The milestone coincides with the manufacturers’ 70 years in the country and consolidates it as Brazil’s largest automobile producer.

The celebration happens in a positive moment for Volkswagen after a 2022 full of production problems. The components shortage affected vehicle offer and sales, especially in the first semester.

Nonetheless, from January through May this year, the brand delivered 108.6 thousand automobiles and light commercial vehicles, a 52% growth, overcoming the market average of 10%.

VW’s market share grew from 10.4% to 14.4%. Fifth place in the ranking one year ago, the brand recovered its traditional presence on the podium and is now third, less than two points behind GM.

In good part, the recovery is due to Polo’s growth with the arrival of the cheaper Track version in January, which granted VW the lead among small hatches for the first time in May, with more than 7.6 thousand units licensed.

In the first five months, the model had 27.7 thousand units delivered and is the third bestseller in the country and the first of the brand.

In the same period in 2022, less than 1.8 thousand units of the Polo reached the streets, and it was 48th in the passenger cars ranking.

World pioneering

Of the 25 million vehicles VW produced in Brazil, about 4.17 million were shipped to other countries, the largest volume from a local manufacturer.

Inaugurated in 1959, the Anchieta plant was Volkswagen’s first factory out of Germany and started the manufacturer’s global expansion.

Thereafter, the company opened the vehicle plant of Taubaté and the engine factory of São Carlos, both in São Paulo. In 1999, it expanded to Paraná, with the plant in São José dos Pinhais.

The manufacturer has an ongoing R$ 7 billion investment plan started last year to go through 2026. The resources will be used to launch 15 vehicles in four years and production digitalization and decarbonization.