Volkswagen Replaces North America CEO Amid Sales Decline
Volkswagen has replaced Kjell Gruner, its head of operations in North America, after a continued decline in sales. Marco Schubert will take over the role on October 1 and report directly to Volkswagen Group CEO Oliver Blume, signaling increased focus on the region. The leadership change is part of broader executive reshuffles across the group as Volkswagen seeks to address ongoing challenges in North America. Volkswagen's market share in the U.S. remains low at around 4%, with sales dropping by about 14% last year and continuing a decline into early 2026. The company is particularly affected by import tariffs, which it estimates cost $5.8 billion annually due to its reliance on imported vehicles for most of its North American sales. Volkswagen faces multiple pressures globally, including rising costs, competition in China, and restructuring efforts that could lead to up to 100,000 job cuts. The company's first-quarter net profit fell by nearly a third year-on-year.
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