Volkswagen set to overtake Toyota as world's top car maker

17 April 2009

Volkswagen AG is all set to overtake Toyota Motor Co and General Motors Corp as the world's top carmaker in the first quarter of 2009, helped in large measure by the German government's incentives for buyers of new cars.

VW also increased its share of global passenger car market by 130 basis points to 11 per cent despite a 11 per cent fall in deliveries to customers at 1.39 million vehicles.

In contrast, Toyota had predicted a 47 per cent drop in its global first-quarter sales to 1.23 million units against VW projected 10 per cent decline in sales.

But that projected drop has been more than offset by the sharp upturn in the Chinese and German markets. VW's output for the first three months of 2009 would still be over 1.4 million units.

Volkswagen -- with its nine brands including Audi, Skoda, Seat and truckmaker Scania -- is in the markets that are currently growing while Toyota is still in the falling markets.

The deepening recession and credit crisis have crippled demand in Toyota's top markets, with US sales falling 38 per cent and Japan sliding 24 per cent in January-March.