Sales at Volkswagen AG motored ahead in the second quarter, thanks in part to demand from China and the United States and helping to push earnings sharply higher to $1.6 billion, the company said today.
Revenue for the company that is building an assembly plant in Chattanooga was up 21.9 percent. The Volkswagen group – which also includes brands such as Audi, Skoda and Seat – delivered 8.8 percent more cars. Deliveries to customers rose to 1.87 million vehicles from 1.72 million, according to VW.
High demand in western Europe, China and the Americas “was a key reason for our strong result, along with the boost provided by lower product costs and positive exchange rate effects,” chief financial officer Hans Dieter Poetsch said in a statement.
The Chattanooga plant is expected to start production early next year making a new midsize sedan.