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VW to Streamline Global Lineup, Cutting Half of Models

The big changes likely won't have a huge effect on Volkswagen's U.S. lineup, but they could lead to fewer variants and trim levels. Big changes are coming to the Volkswagen Group. The automotive conglomerate, which includes Audi, Lamborghini, Bentley, Porsche, and Volkswagen—along with Seat, Cupra, Skoda, and the nascent Scout Motors—produces dozens of different models across its vast portfolio.

Now, it appears that the sprawling lineup is set to shrink, with the VW Group announcing plans to greatly reduce the number of different models it offers in the coming years. The German automotive giant said in a press release that "the model lineup will be gradually streamlined by up to 50 percent and concentrated on the most attractive market segments." The company will also reduce complexity within model lines, slashing the number of equipment options by up to 75 percent.

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Volkswagen didn't specify which models will be cut or when, but we don't expect this reduction to have a huge effect on Volkswagen's U.S. lineup. The brand's SUVs—the Tiguan, Atlas, Atlas Cross Sport, and Taos—should all be safe, given their strong sales in key segments. The Jetta also probably isn't going anywhere, since it serves as the entry point to the brand and is VW's fourth bestseller in the U.S.

Instead, we think the model cuts will likely come in other markets. In Europe, for example, VW currently sells three different subcompact SUVs—the T-Cross, Taigo, and T-Roc—while in China, VW sells four different compact sedans: the Lavida, Bora, Lamando, and Sagitar. There is a similar amount of overlap in other segments in Europe, China, and other markets, and that seems like the easiest place to start cutting.

Some of the VW Group's other brands are also likely cut candidates. Spanish brand Seat has slowly seen its lineup reduced as VW pours investment into Cupra, formerly Seat's performance division, which was spun off into its own brand and now boasts a healthier lineup and higher sales than Seat.


Source: caranddriver.com

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