Volkswagen China CEO Admits Brand Seen as "Dad's Choice," Slides to Third in Market Share

On April 21, Robert Zipse, CEO of Volkswagen Brand China, stated that in the eyes of some younger consumers, Volkswagen has become "a brand for their parents' generation." Volkswagen had topped China's automotive sales rankings for 25 consecutive years, but was overtaken by BYD in 2024 and further pushed to third place by Geely in 2025. Zipse noted that the Chinese auto market has shifted from being a growth engine for German automakers to an intensely competitive battleground—a transformation he described as "beyond imagination." When Volkswagen first participated in the Shanghai Auto Show in 1985, its brochures—praised for their paper quality and printing—astonished Chinese consumers, drawing massive crowds and causing promotional materials to be snapped up instantly. The first domestically produced Santana rolled off the production line at Shanghai Automotive Industry Corporation on April 11, 1983. The report points out that German automotive executives previously underestimated the rapid rise of Chinese automakers in electric vehicle (EV) development. Felipe Muñoz, an automotive consultant, remarked that German carmakers neither anticipated this dramatic shift nor realized how swiftly it would unfold. If they fail to reverse the trend, traditional German automakers could gradually lose influence in the Chinese market. Nevertheless, Volkswagen still views China as a crucial testing ground for the future of mobility. Under the leadership of Group CEO Oliver Blume, Volkswagen plans to launch 20 new energy vehicle models in China in 2025, covering battery-electric, plug-in hybrid, and range-extended technologies. Zipse acknowledged that Volkswagen’s reputation for safety, reliability, and quality remains a key strength—but admitted that this very image has also become somewhat of a burden.