Volkswagen Profits Tumble as Tariffs, Competition in China Weigh on Earnings
Volkswagen has reported one of its worst financial performances in years, with operating profit more than halving in 2025 as the German automaker absorbs the combined weight of American tariffs, a collapsing position in China and deepening problems at two of its most profitable brands. The results confirm that Europe's biggest auto manufacturer is fighting on multiple fronts simultaneously, and losing ground on most of them. Annual operating profit came in at $10.4 billion, well short of what analysts had penciled in. The underlying margin for the year was 2.8%, a significant distance from the 8-10% range the company has publicly committed to by decade's end. Group revenues were broadly…