VOLKSWAGEN PREF : Takeaways from the 2026 BNP Paribas Global EV and Mobility Conference

Research evidence excerpt

VOLKSWAGEN PREF : Takeaways from the 2026 BNP Paribas Global EV and Mobility Conference

Refinitiv

done (be that changing the purpose of the plant or perhaps selling to another owner). However, crucially, any

opportunity must make sense financially for both VW and the potential buyer. Looking for good alternatives is not

enough at this point as decisions need to be made more quickly. BNPE it is Unions driving these conversations

with Chinese OEMs, as financially taking VW plants in those regions which are high cost would not make sense

financially.

- EREV in Europe: Unlikely to be pursued as a large investment for what is essentially a bridging technology.

- Raw materials – Planning horizon is 5 years. Hedge ratio is much higher in closer years than outer years. For the

most important raw materials have a high hedging ratio this year. May be opportunities for incremental hedging. In

some areas (precious metals) also engage in physical hedging. Most of the benefit from hedge accounting captured

within EBIT though some may come through within the financial result line. DRAM contracts are direct with chip

manufacturers and will not present an issue in 2026 (some contracts are 3, 6 and 18 months).

- Rivian partnership: VW were in need of a solution for better software for the SSP platform. Rivian at that time

was in need of cash. Rivian would bring their full IP and Volkswagen would pay. JV is totally isolated from the

financial situation of Rivian. Subsequently agreed to 3 rights issues. VW holding in Rivian currently 15.9%. JV can

request a loan from VW by the end of this year to further fund their costs in 2027 (up to 1bn). Management has

confirmed there are no issues with the rollout of Rivian software across the portfolio (despite those cited by the