London Daily

Focus on the big picture.
Friday, Oct 02, 2026

Volkswagen and Audi are starting to challenge Tesla

Volkswagen and Audi are starting to challenge Tesla

The world's largest carmaker is starting to gain ground on Tesla.

Volkswagen (VLKAF) sold 231,600 battery electric vehicles in 2020, according to figures published by the company on Wednesday. While that's still less than half the number of sales Tesla (TSLA) made, it represents an increase of 214% on the previous year and shows Germany's huge auto industry is beginning to mount a challenge to the leader in electric cars.

"We are well on track to achieve our aim of becoming the market leader in battery electric vehicles," Ralf Brandstätter, CEO of Volkswagen Passenger Cars, said in a statement on Tuesday.

Volkswagen's most popular battery electric vehicle was the new ID.3, which sold 56,500 units. Sales of the compact e-Golf and even smaller e-up! were 41,300 and 22,200, respectively. Audi, the group's luxury brand, sold 47,300 e-tron SUV and sportback models, while customers purchased 20,000 electric Porsche Taycans.

Sales of hybrid vehicles, which are powered by electricity and conventional fuels, also increased. Volkswagen sold 190,500 plug-in hybrids last year, a jump of 175% over 2019.

"2020 was a turning point for Volkswagen and marked a breakthrough in electric mobility," Brandstätter said.

Tesla still poses a formidable challenge, however. The company led by Elon Musk hit its goal of building 500,000 cars in 2020, it reported earlier this month.

Production and deliveries rose by more than a third from 2019 levels, an impressive gain, especially considering that the company's factory in Fremont, California, was shut for nearly two months due to the pandemic. It's building a plant in Germany after opening another in China in 2019.

Investors have rewarded Tesla by making it one of the world's most valuable companies. At $805 billion, Tesla's market value is more than eight times that of Volkswagen even though the German company makes roughly 19 times as many vehicles.

Volkswagen has said it plans to invest €35 billion ($43 billion) in electric vehicles by 2025, and the sales figures for 2020 suggest that customers are beginning to respond. The manufacturing giant intends to launch roughly 70 pure electric models by 2030 as it races to catch up with Tesla.

Other German carmakers are joining the race. BMW (BMWYY) sold 44,530 battery electric vehicles in 2020, a 13% increase over the previous year, and over 148,000 plug-in hybrids. Daimler's (DMLRY) Mercedes-Benz sold more than 160,000 plug-in hybrids and pure electric vehicles last year.

The electric boom came even as the pandemic pushed overall industry sales into reverse. Volkswagen Group sold 9.3 million cars in 2020, a 15% decline over the previous year, but it said that deliveries were down just 3.2% in December as demand rebounded.

Volkswagen is trying to prove that a carmaker that just a few years back was cheating regulators to sell polluting diesels can produce electric vehicles people want to buy and policymakers will embrace as they tackle the climate crisis.

It's making significant inroads in some markets. In Norway, where financial incentives make most electric vehicle models cheaper to buy than similar petrol models, the Audi e-tron was the 2020 sales leader, surpassing Tesla's Model 3.

Comments

Oh ya 6 year ago
Electric cars for stupid people, remember what they have said about your cell phone. Don't carry them close to your body, not to have them close to you when you sleep, use wired headphones not wireless and yet now they want you and the kids to sit on a huge battery. Go ahead a nuke Eddy and the Twins you should not breed anyway

Newsletter

Related Articles

0:00
0:00
Close
Scottish Court to Rule on Bid to Force No-Confidence Vote Against Aberdeen Council Co-Leader
UK Bans Extra Charges for Seating Children Under 12 Beside Accompanying Adults
UK Introduces Vaping Duty and New Licensing Requirements
Greggs to Close Four UK Factories and Cut 740 Jobs
Hundreds of Prisoners Released Early as England and Wales Prisons Reach 98% Capacity
UK Unveils New Russia Sanctions Targeting War Funding and Shadow Fleet
Burnham Says There Are Strong Indications of Iranian Involvement in RAF Fairford Security Breach
Prime Minister Andy Burnham Raises Prospect of Reviewing Britain's Post-Brexit EU Relationship
Markets Price in Bank of England Rate Increases as Inflation Rises to 3.1%
UK Borrowing Costs Climb Toward 5.5% as Global Bond Sell-Off Intensifies
UK-France One-In-One-Out Migration Agreement Expires as London Seeks Alternative Measures
Southwest England Faces Flood Alerts After Heavy Autumn Storms
UK Expands Funding for Rapid Electric Vehicle Charging Infrastructure
Welsh Government Approves Funding to Upgrade South Wales Transport
Northern Ireland Tensions Rise as Orange Order Rejects Drumcree Compromise
NHS Leaders Back Early Design of Proposed National Care Service
More Than One-Third of Regional UK Universities Face Financial Deficits
UK Current Account Deficit Narrows as Cross-Border Financial Flows Remain Strong
Bank of England and FCA Issue New Rules for Stablecoins and Digital Assets
MI5 Warns UK Universities Over Research Links With Chinese Institutions
UK Energy Price Cap Rises 4% as Electricity VAT Is Temporarily Suspended
Equity Calls for UK Personality Rights to Protect Performers From AI Replication
OpenAI Pauses Advanced Model Training Following Safety Concerns
Scottish Government Proposes Replacing 32 Councils With Larger Regional Authorities
Ofgem Raises UK Household Energy Price Cap by 4% From October
UK Counter-Terrorism Police Continue Investigation After Five Arrests Near RAF Fairford
OECD Cuts UK 2027 Growth Forecast to 1%
Labour Says State Pension Triple Lock Remains Protected Through Current Parliament
Andy Burnham Pledges National Care Service With Free Social Care in England
Six Flags Permanently Shuts Landmark X2 Roller Coaster Following Safety Scandals
Metropolitan Police Rule Out Terrorism in Golders Green Stabbing Investigation
Lithium-Ion Battery Identified as Cause of Fatal Merseyside House Fire
UK Department Rejects New Sea Use Framework Due to Stakeholder Fatigue
Major Thames Water Pipe Burst Causes School Closures in London
Aldi Commits £900 Million to Expand UK Supermarket Network
Scottish Affairs Committee Warns Skills Shortages Threaten Defence Sector Expansion
Parliamentary Committee Warns Northern Ireland Budget Deadlock is Stalling Economic Growth
NHS Hospitals in England Face Severe Shortages of Essential Medications
Home Secretary Signals Major Overhaul of UK Immigration and Leave to Remain Policies
Chancellor Promises New Job Schemes Alongside Strict Fiscal Discipline
Energy Secretary Proposes Taxpayer-Funded Green Transition and National Electricity Grid
UK Government to Renationalise Avanti West Coast Railway Franchise in March
Prime Minister Andy Burnham Pledges Major Social Care and Infrastructure Reforms
Five Suspects Released on Bail Following Alleged Bomb Plot Near RAF Fairford
UK Diesel Prices Hit Record High of 199p Per Litre
Transport for Wales and Network Rail Complete Electrification of South Wales Metro
Defra Expands Incentives for Sustainable Farming and Biodiversity in England
Northern Ireland Executive Approves Funding Package to Resolve Public Sector Pay Disputes
Universities UK Warns of Financial Insolvency Risks for Higher Education Institutions
UK Prisons Activate Emergency Protocols to Manage Capacity Pressures
×