Volkswagen Group reports weak sales amid Audi, China struggles

Germany's Volkswagen Group on Friday reported another drop in sales in the third quarter, with disappointing results at Audi and struggles in the Chinese market largely responsible.

Total sales decreased by 7.1% to 2,176,300, the Wolfsburg-based company said, after a 3.8% fall in the previous quarter.

The Audi brand saw a 16% slump in sales, while the core VW brand was down 6.6% and the Volkswagen Commercial Vehicles division sold 11.8% fewer vehicles.

Only the Skoda and Lamborghini subsidiaries, as well as the Traton truck manufacturer, saw sales increase.

Business was particularly slow in China, where Volkswagen reported a 15% drop in deliveries, with a 23.4% fall in the rest of Asia.

Growth in America, Africa and the Middle East, meanwhile, could not offset a 7% decline in deliveries in Western Europe.

Electric car sales also fell markedly in the third quarter, with only 189,400 models being sold worldwide, representing a 9.8% drop compared to the previous year.

The company's order backlog for electric vehicles in Western Europe remained around 170,000.