Having recently renamed its Truck & Bus unit TRATON to increase independence and move it “towards capital market readiness”, Volkswagen Group announced another structural realignment of its organisation so one lead brand assumes “steering responsibility” for a clearly defined region of the world across the group.

CEO Herbert Diess said: “We are distributing the responsibility across several shoulders. This means that it will be possible to take decisions in a significantly more decentralised way in the future and the group board of banagement will be able to concentrate on overarching strategic topics. This way, we will make VW faster, slimmer and more efficient.”

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The Volkswagen brand will assume responsibility for North America, South America and the Sub-Saharan region.

SEAT will be responsible for the growing market in North Africa.

Audi will coordinate the Middle East and the Asia-Pacific region except China.

Responsibility for China will be retained by the group.

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Skoda will be responsible for the Russia and India and is to sustainably strengthen the market position of the group in the growing market of India with its India 2.0 project and the related model VW and Skoda brand “model offensive”.

Preparations for local development and production of new, “technically groundbreaking” volume models are already well under way, VW said.

The automaker said assigning responsibility for the regions tailors the model range to relevant market requirements and customers’ needs rapidly and effectively on the basis of regional knowledge and competences and through intensive cooperation with local partners.

In future, the regional lead brand will be tasked with synchronising the group strategy for its region in liaison with the brands in the region, as well as coordinating brand activities, partnerships and the exploitation of synergy effects.