by T. James Ranney on Oct 20, 2015 | Views: 49 | Score: 0
Volkswagen’s recent emissions scandal has caught environmentalist and auto-enthusiasts by storm. The international automaker appears to be in very hot water as the EPA continues its investigation. As a result, it is crucial to delve into where Volkswagen stands among top international automakers, in addition to its recent sales revenues. Furthermore, the auto giant’s revenue by region is imperative to assess how this scandal will affect global markets. Never before has the EPA sanctioned such severe penalties. By analyzing past sales trends and fines derived from scandals, we can more accurately predict Volkswagen’s future.
Global Sales by Motor Vehicle Manufacturer (2014)
Volkswagen sales have enjoyed constant growth since FY 2010. However, as popularity has waned in the U.S. market, sales have begun to flat line since 2012. Prospects do not appear to be much brighter following the recent emissions scandal.
Volkswagen Sales Revenue by Year
While the majority of Volkswagen sales are generated outside North America, the United States still produces a significant portion of revenue. The recent emissions scandal is set to decrease North American sales as consumer distrust remains high. This will undoubtedly impact the automakers income statement.
Volkswagen Revenue Share by Region
Volkswagen's 2015 emissions scandal is unprecedentedly costly. The EPA recently slapped the automaker with a $37,000 fine per vehicle. Such a fine affects roughly 482,000 cars on American roads, amounting to $18B. The next highest fine ever sanctioned by the EPA was $1.2B to Toyota. Although top lawyers expect Volkswagen's fine to be reduced, the scope of the Volkswagen scandal is truly unprecedented.
Most Severe EPA Fines
|Caterpillar & Mack (1998)||1|