VW plans to delay its key Trinity flagship EV project by at least two years after software fumbles, according to a person familiar with the situation, calling into question its ambitious 52 billion-euro ($54 billion) EV rollout touted as the industry's biggest. Also, Mercedes cut prices on its flagship EQS EV in China by about $33,000 after misjudging the market.
The developments are a red flag for the industry that is pouring unprecedented funds into the transition with ambitious timelines. While carmakers the world over grapple with the switch away from combustion engines, the stakes are highest for Germany's manufacturers accustomed to commanding a premium based on cutting edge technology and luxurious trims.
"German automakers have announced bold electrification targets and claim they are leading the transition, but they are not yet delivering," said Bloomberg Intelligence's Michael Dean. "They still have a long way to go."