The Volkswagen Group has decided that the Volkswagen, SEAT and Skoda brands increase their level of cooperation and share a greater number of parts and components. Shared development and production will reduce costs by up to 20%. Thomas Schäfer has pointed out that future models of these brands will only differ in design.
The automobile industry faces turbulent times. The shortage of certain components strictly necessary for the manufacture of vehicles continues to make a dent. In addition, to this situation we must add the process of transition to sustainable mobility in which we find ourselves and the economic uncertainty that flies over Europe. The Volkswagen Groupone of the great giants of the industry, is aware of these challenges and therefore wants some of its brands to increase synergies between them.
The German automobile conglomerate will increase cooperation between the Volkswagen, SEAT and Skoda brands. Increasing cooperation between these firms will allow the company to reduce costs and increase efficiency by up to 20% thanks to a greater number of shared developments and production. That is to say, the future models of Volkswagen, SEAT and Skoda will have a greater relationship.
The differentiation will be in the design
In recent years, the Volkswagen Group can boast of having been a benchmark in terms of share platforms it means. The popularization of the MQB platform, and more recently of the MEB platform, by the different car brands of the Group, is a clear example of this.
Thomas Schäfer, CEO of the Volkswagen brand, has assured that these synergies will go further: “In the past, we wasted too much time worrying about each other. The competition is outside, it is not inside the company». According to the head of Volkswagen, differentiation between the Group’s main brands will focus on design.
in the recent past Volkswagen, SEAT and Skoda have shared more than platforms and engines. The triplets Volkswagen e-up!, Skoda Citigo and SEAT Mii are exactly the same car but with a different face. Something similar happens with the Skoda Fabia, Volkswagen Polo and SEAT Ibiza. They are all supported by the same platform and, although the mechanical offer may vary, they are ultimately the same engines. However, these utilities do not share a production center.
The Volkswagen Group wants to reduce the cost of development and production
The company will replicate this strategy with the new Volkswagen Passat and Skoda Superb. Some models that will go one step further in their technical relationship. Moreover, Skoda is in charge of its development process and both models will be manufactured in the same facilities located in Slovakia.
Volkswagen, SEAT and Skoda represent approximately 80% of the Group’s global sales. Increasing the synergies between these brands will allow the company to save a considerable amount of money. Economic resources that will be redirected to accelerate the transition process to the electric car in which the Volkswagen Group is located. Especially in Europe.
On the other hand, and not least, the statements made by Schäfer also suggest that Audi, Porsche and Bentley are likely to maintain greater independence.
Font: Bloomberg