Volkswagen executives: European consumer demand for some of its electric models has "dropped to zero"

CTOnews.com, July 12 (Xinhua) according to the latest report released by the German business daily Handelsblatt, sales of Volkswagen's electric vehicles in the German home market are much lower than the company expected, and executives revealed that demand for some electric models has "dropped to zero."

Touyuan: Volkswagen reported that European consumers are reluctant to buy electric cars because of subsidy cuts, high inflation and relatively high prices.

What makes things worse for Volkswagen is that the price reduction of its main competitor Tesla has already reduced the demand for cars. Among the consumers who plan to buy cars, Tesla's price reduction has once again diverted most European consumers.

"Tesla's price reduction is a fatal blow to the company," Volkswagen executives told the media, adding that orders for fuel models have also dropped significantly.

Volkswagen produced 97000 electric vehicles between January and May this year, but sold only 73000, while Tesla Model Y sold 100000 during the same period, according to data service provider Marklines.

Volkswagen is facing fierce competitive pressure, as well as being squeezed by Chinese automakers in China, the most important export market, CTOnews.com reported.