Europe’s largest car manufacturer Volkswagen recorded a drop in profits at the beginning of the year. The operational result decreased to EUR 2.8 billion from 4.6 billion euros a year ago, the company said on Wednesday. The return on sales fell to 3.6 percent from 6 percent in the first quarter. On the market, a profit of around four billion euros and a return of around five percent was expected. VW referred to special effects of 1.1 billion euros, which pressed the result. Among them are around 600 million euros in provisions related to CO₂ regulation in Europe, it said. In the EU, stricter CO₂ limit values apply from this year. However, the EU Commission recently gave companies more time to achieve these goals. A total of 300 million euros were “provisions for diesel issues” and value adjustments of vehicles that are on the way to the USA after the introduction of President Donald Trump’s auto tariffs. The group adheres to its forecast for the year as a whole. However, this does not contain the effects of the US tariffs, since the effects and their interactions could not be finally evaluated at the moment.
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