VW To Overtake GM in 2009?

Poor General Motors, can't catch a break. After losing it's title as World's Largest Automaker to Toyota last year, it looks like they might be losing No. 2 as well this year to Volkswagen AG. What a turnaround? VW is on a roll!

When VW set out a few years ago on a goal to become the World's Largest, I admit to being skeptical. VW? They got lost in the wilderness for a little while on a (failed?) quest to take the VW brand farther upmarket then it could go. That caused a bit of confusion with VW and Audi, etc and what brand would be the volume brand for the company around the world.

The U.S market is the biggest world and to be the biggest you need to feature here as well and unlike in other countries there wasn't VW's brand portfolio of Skoda and Seat to take that place. The company has since successfully regrouped and set itself out on a far more sensible course. The latest products from the company have all been excellent.

With these kind of results, I could see VW achieving it's goal! Not sure being the biggest is neccessarily the highest goal (being the best I think world better long term) but that's a whole other story.

The information is being calculated by market research company R.L Polk Germany. They're forecasting global production to fall by 19 percent to 52.8 million vehicles this year.

GM is estimated to slide by 31 percent globally, in large part due to it's heavy reliance on the faltering U.S car market. In comparison, VW is only estimated to fall by 15 percent. VW already passed Ford last year for No. 3. Toyota, VW, GM, Ford would be the order globally. What a change!

We'll see if the prediction comes true or not; a lot depends on the U.S auto market for the rest of this year. In practice it won't serve as much other then a further blow to morale at GM. I hope someday GM will rebound to become a healthy, thriving business.