The clouds over Wolfsburg are getting darker, and the internal turmoil in the largest automaker on the Old Continent is taking on threatening proportions. It turns out that the crisis in the Volkswagen Group is far deeper and more dangerous than initial market forecasts indicated. An analysis by the authoritative German publication Manager Magazin reveals that the corporation's executives themselves are already openly defining the situation as a critical and turning point in the history of the automotive giant.
Although the German concern traditionally holds the position of European market leader and closes the top two on a global scale, the decade-old business model, bringing secure dividends, has clearly exhausted its potential in the new reality. The statistics from the past 2025 are startling: the group's net profit collapsed dramatically by nearly 44%, shrinking to 6.9 billion euros against the 12.4 billion euros generated in the previous reporting period, while the company also reported a serious decline in its total revenues. Against this background, the lag behind the eternal global rival Toyota is becoming increasingly noticeable.
However, the true scale of the concern is evident from the results of a strictly confidential internal survey conducted among the members of the management and supervisory boards of the German colossus. Six out of nine surveyed top managers without hesitation defined the current situation as a direct threat to the physical existence of the company in the future. The remaining three senior executives describe the situation as extremely stressful, with none of the respondents choosing a neutral or positive response.
The management core is unanimously demanding an immediate and radical change in strategic course, subjecting the previous corporate approaches in the key markets of China and North America to devastating criticism. This internal uncertainty is already directly reflected on the employees: in the spring of 2026, the Volkswagen Group officially announced a large-scale restructuring plan that envisages the reduction of up to 50,000 jobs in the plants in Germany by the end of the decade, and the complete re-profiling of at least one major production facility is also being considered.
In an attempt to calm spirits and draw a new horizon, the CEO of the concern Oliver Blume said that salvation lies in a complete reorientation towards more affordable and technologically advanced vehicles. The Germans' focus is shifting to models with significantly optimized software and competitive prices - such as the new compact Cupra Raval, whose starting price of around 25,000 euros aims to bring mass buyers back to showrooms and revive the emotion of driving the brands in the portfolio.