Money Buzz! Europa

Tag: Volkswagen

  • Apple remains the world’s largest company by market capitalisation

    Apple remains the world’s largest company by market capitalisation

    The market capitalisation of the 100 largest listed companies in the world increased by over USD 10 trillion (48%) between April 2020 and March 2021.

    By 31 March 2021, a new record high of USD 31.7 trillion had been reached, according to PwC.

    All sectors represented in the Top 100 list saw substantial increases, ranging from 25% to 75%, in market capitalisation during the year to March 2021.

    Technology continues to be the largest sector in terms of market capitalisation (USD 10.5 trillion). Global Top 100 Technology companies saw a 71% increase from their March 2020 value.

    Industrials and Basic Materials also outperformed other sectors, with increases of 75% and 68%, respectively.

    The worst-performing sectors in the Global Top 100 were Health Care, with 25%, and Energy and Utilities, at 26%.

    United States continues to dominate the Global Top 100. Its 59 companies on the list recorded the highest regional increase in market capitalisation of 57%, compared with China’s 42% and Europe’s 18%.

    Five European companies dropped out of the Global Top 100 in the year to March 2021, including three in the UK and two in France. That was partially offset by two new entrants to the list from Germany – Siemens and Volkswagen.

    The 73 companies on the list from the US and China account for 77% of the total market capitalisation of all Global Top 100 companies.

    Apple is the world’s largest company by market capitalisation

    Apple regained its crown as the world’s largest company by market capitalisation with a March 2021 valuation of 6% and 13% ahead of Saudi Aramco (2nd) and Microsoft (3rd), respectively.

    Apple’s market capitalisation reached an all-time high of USD 2.4 trillion in January 2021.

    Although Amazon’s market capitalisation increased by 61% in the year to March 2021, the company remained in fourth place.

    The top 10 is completed by Alphabet (Google), Facebook, Tencent, Tesla, Alibaba and Berkshire Hathaway.

    China Mobile was the only company in the Global Top 100 that saw a decrease in market capitalisation.

    Tesla recorded the highest increase, of 565%. Food delivery platform Meituan saw the second largest increase in market capitalisation in relative terms (221%).

    Volkswagen returned to the Global Top 100 with a USD 165 billion market capitalisation as at March 2021, with a 165% increase in the year to March 2021, driven by strong investor support and consumer demand for its transition to electric vehicles.

    Given the ongoing regulatory challenges and suppressed demand across the aviation industry due to the pandemic, Boeing made a surprise return to the list with a 77% increase in market capitalisation.

  • Volkswagen AG will cut 5,000 jobs from its German factories

    Volkswagen AG will cut 5,000 jobs from its German factories

    Volkswagen AG will lay off 5,000 employees from its German factories by the end of 2023, as part of a cost-cutting program.

    Up to 900 employees are expected to opt for the early retirement scheme, while about 2,000 to 4,000 employees will leave the company following the gradual cut of their activities.

    Company sources told Reuters that the number of jobs at six factories in Germany of the main brand, VW, which currently has about 120,000 employees, will be cut.

    In 2019, VW announced the lay off of 7,000 employees.

    Handelsblatt newspaper, which had previously announced the plan, said the German group would cut up to 5,000 jobs.

  • Volkswagen abandons investment in Turkey and expands production in Slovakia

    Volkswagen abandons investment in Turkey and expands production in Slovakia

    Volkswagen will move production of its Passat model and premium Skoda Superb model to its plant in Bratislava, after initially wanting to produce the two cars in Turkey, The Slovak Spectator reported on Tuesday.

    The German group’s investment will be much higher than expected by Prime Minister Igor Matovič’s government.

    It is unknown whether electric vehicles will be produced in Bratislava, said another Slovak publication, Denník N.

    In July, the Slovak government signed a memorandum with Volkswagen representatives, suggesting an investment of 500 million euros, but recent information indicates an investment of over one billion euros.

    The amount was mentioned by Herbert Diess, Volkswagen CEO, in an interview with the German magazine Automobilwoche. He confirmed the increase in production at the plant in Slovakia.

  • Volkswagen launches two electric SUVs in China

    Volkswagen launches two electric SUVs in China

    Volkswagen launched two models of ID.4 electric SUVs in China in an attempt to compete with Tesla in the world’s largest car market, Reuters reports.

    The ID.4 CROZZ is manufactured by the joint venture that Volkswagen owns with the Chinese group FAW, while the ID.4 X is produced by another joint venture with SAIC Motor.

    The German car maker did not revealed the price of the two models.

    Chinese authorities expect a 20% increase in sales of electric and hybrid vehicles by 2025, from 5% today.

    Analysts expect about 1.1 million electric and hybrid vehicles to be sold in the Chinese market this year.

  • Volkswagen’s truck division to pay $ 3.7 billion for US company Navistar

    Volkswagen’s truck division to pay $ 3.7 billion for US company Navistar

    Traton, the commercial truck division of the German group Volkswagen AG, has agreed to buy the remaining shares it does not yet own at the US company Navistar International.

    The offer stands at $ 44.5 per share, or $ 3.7 billion in cash, DPA and Reuters reported.

    In 2016, Volkswagen acquired a 16.60% stake in the American truck manufacturer, and currently owns almost 16.80% of Navistar International shares.

    The goal of the two companies was to collaborate in the field of procurement and technology development, in order to reduce their costs by 200 million dollars annually.

    Volkswagen also wants to expand its presence in the North American truck market.

    The deal comes after months of negotiations and puts the entire Navistar company at about $ 4.4 billion.

    Traton owns the European brands of MAN, Scania and Volkswagen commercial trucks.