Volkswagen will appoint Marco Schubert to lead its North American region on October 1, replacing Kjell Gruner and reporting directly to Group Chief Executive Officer Oliver Blume, as the automaker considers smaller body-on-frame SUVs, pickups and expanded hybrid offerings for the region. Volkswagen is streamlining its global lineup and production footprint amid declining sales, weaker electric-vehicle demand, stronger Chinese competition and U.S. tariff exposure. Group U.S. sales fell roughly 14% last year and about 7% in the first half of 2026; its North American market share is estimated at around 4% by The Wall Street Journal and about 3% by Motor Intelligence. The company estimates the tariffs cost its business the equivalent of $5.8 billion annually, while first-quarter 2026 net profit fell 28% year-on-year to €1.56 billion. Stakeholders are discussing turnaround proposals before a Friday supervisory board meeting, though Reuters reported a breakthrough was unlikely.