Europe’s largest automaker, Volkswagen AG, is facing a new internal crisis after the results of an anonymous management survey exposed growing concerns within the company’s leadership.
According to reports from German industry media, an external consulting firm conducted the survey among members of Volkswagen’s executive board. The findings were initially presented to the supervisory board but later became known to the public ahead of the company’s important shareholder meeting.
The results reveal a striking level of pessimism among senior executives. Six of the nine board members reportedly described Volkswagen’s current situation as one that could threaten the long-term viability of the company. The remaining three executives classified the situation as “tense.” Not a single respondent considered Volkswagen’s position to be stable or non-critical.
China and North America Identified as Major Weak Points
Perhaps the most alarming conclusion of the survey is the unanimous acknowledgment that Volkswagen currently lacks a viable and sustainable business model capable of ensuring long-term competitiveness in a rapidly changing global automotive market.
Particular concern was expressed regarding the company’s performance in China and North America. According to the leaked findings, all nine board members agreed that Volkswagen’s current strategy for its brands in these key markets has failed to deliver the expected results.
China, once one of Volkswagen’s most profitable markets, has become increasingly challenging for European automakers. Domestic manufacturers are rapidly expanding their electric vehicle portfolios and offering competitive products at lower prices, steadily increasing pressure on foreign brands.
At the same time, Volkswagen faces growing competition in the EV segment from both Chinese manufacturers and American companies, including Tesla.
Industry analysts note that the challenges facing Volkswagen reflect broader structural changes affecting the entire European automotive sector. Manufacturers are being forced to invest billions of euros in electric mobility, software development, digital services, and next-generation vehicle technologies while trying to maintain profitability in their traditional businesses.
Against a backdrop of shrinking margins and slowing sales growth, many automotive groups are reassessing their strategies, cutting costs, and searching for new sources of revenue.
For Volkswagen, the upcoming shareholder meeting could become one of the most significant and closely watched in recent years. Investors are expected to demand a clear roadmap for restoring competitiveness and strengthening the company’s position in global markets.
Despite the internal concerns, Volkswagen continues to invest heavily in electric vehicles, software platforms, and digital mobility solutions. However, the survey results suggest that even within the company’s leadership there is currently little confidence that the existing strategy will be sufficient to successfully navigate the ongoing transformation of the global automotive industry.
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