Dear all,

How will we remember 2024? Will it go down as a year that had a captivating summer of sport with the European Football Championship and Olympic Games, or will it be remembered as a turning point, marked by global conflicts, pivotal elections and major economic upheaval?

Just as international developments are constantly evolving, our industry is also undergoing profound change. In 2024, the German automotive industry, which naturally includes the VW Group, faced significant turbulence. The days when VW was a pioneer in China, with a market share of 50% and high profits, are a thing of the past.

The European car market is also still recovering from the COVID-19 pandemic and the chip shortage, and is not expected to return to its long-term level for the foreseeable future. Against this backdrop, Volkswagen AG set about making the necessary structural reforms, which culminated in a new collective labour agreement that was described as a «Christmas miracle».

With 239,535 new registrations, the Swiss car market in 2024 was also around 20% down from its long-term highs and around 5% below last year. Political, economic and industry-specific uncertainties swayed many customers away from making new purchases. This uncertainty is evident in drive system trends: purely electric vehicles were -12% and plug-in hybrids -10.6% compared to the previous year. The sharp increase of 17.1% in mild hybrids, however, reflected the auto industry’s efforts to reduce the fuel consumption and carbon emissions of combustion engines.

In this environment, marred by uncertainty, the AMAG Group can look back on an overall solid year with its brands, dealership and service partners. With a market share of 30.4% and increasing sales across all brands from quarter to quarter, our model offensive has paid off. The brands we represent took first, third, fifth and seventh place in the registration statistics. Six of the ten best-selling models in Switzerland came from us, and AMAG once again provided the favourite car of the Swiss – the Skoda Elroq. We are therefore optimistic about another year of change.

According to a study by Sotomo, 73% of people can imagine driving an electric car or have not yet formed an opinion on the subject. However, only 23% want to buy an electric car in the next two years. The main reasons for not wanting to buy an electric car are the purchase price, scepticism about range and a lack of charging options.

This is exactly where we come in with our products and services. We are continuously launching many new vehicles in new segments at attractive prices, with long ranges and outstanding charging speeds. Examples include the Skoda Elroq, which is priced below the comparable Karoq, and the Volkswagen ID.7, which won the ADAC vehicle test. This test gave journalists the opportunity to experience the benefits of the latest technology and drive 794 km on a single charge – significantly more than the car’s WLTP range (Worldwide Harmonized Light Vehicles Test Procedure, a standardised test that measures new vehicle fuel consumption, emissions and electric driving range). Equally impressive is the fact that the new Audi A6 e-tron can be driven for a range of 310 km after charging for just 10 minutes – almost as fast as refuelling.

We are adding to this compelling product range with new services. For example, existing and new customers across Switzerland benefit from an exclusive charging rate of just 28 cents/kWh at all AMAG locations and participating sales partners. Our electric vehicle subscription, Clyde, allows customers to test drive a vehicle for up to three months – the longest in Switzerland. Once the test drive ends, customers also get 50% of their Clyde instalments back when buying, leasing or taking out a long-term subscription for a new car – regardless of whether they opt for an electric, hybrid or ICE vehicle. This makes it easier for customers to discover electromobility and also enables us to reach new customer segments. We know and are counting on the fact that 80% of electric vehicle drivers will choose another electric car as their next vehicle. For anyone who already has their heart set on electromobility, we offer attractive leasing conditions for used cars as a more affordable way to go electric, as well as free battery certificates for added safety. Our customised offers for electric cars include sustainably produced electricity with Helion, innovative home billing solutions from Charge:ON, and standardised charging rates of 28 cents/kWh within the «AMAG & Partner». network. We thereby offer private individuals and companies attractive, cost-efficient and «all-round carefree» solutions while also helping them reduce their carbon emissions and improve their carbon footprint.

We have a clear vision for the future. That is why we have joined forces with other companies in the canton of Zug, leading representatives from the world of science and committed political players to launch the «ZUG ALLIANCE – Thinking Energy & Mobility Forward». Together, we intend to accelerate the decarbonisation of energy, infrastructure and mobility. Our «Grid-optimised charging» and «Zug Virtual Power Plant» projects aim to improve the resilience of the energy supply in the canton of Zug by bringing together local power producers, consumers, providers of electrical storage facilities and grid operators in a brand new system. The Canton of Zug has also commissioned the ZUG ALLIANCE to conduct a feasibility study on «Automated ride poolingt», which has the potential for the region to become a model for mobility innovation.

How will we remember 2024? We tend to remember things that affect us emotionally, such as global events, professional experiences and, of course, important moments in our private lives. According to brain research, how we will remember today in the future depends not only on current events but also on what will happen over the coming years.

We are convinced that we have already made forward-looking decisions, including commissioning the world’s largest ID.Buzz fleet at Helion, building up our Swiss electromobility ecosystem with several high-profile corporate customers, investing in Synhelion and purchasing their solar fuel.

The AMAG Sustainability Challenge also helps young Swiss companies develop and scale up business models or technologies that can help decarbonise mobility. We are on track with our climate strategy and have already reduced our emissions by 30% across Scope 1, 2 and 3. Our reduction pathway has been accepted by the internationally recognised Science Based Targets initiative (SBTi), and our interim target for 2030 is -50% compared to 2019. In 2024, as the market leader, we were able to put over 12,500 electric vehicles on Swiss roads and generate solar power for more than 37,000 vehicles. The proportion of women in management positions is now 16.1% compared to 11.2% in 2020. We view sustainable corporate governance not as a fashion but as a corporate value that we have practised for decades. In 1945, Bob T. Hilpertshauser was the first apprentice at AMAG. Now 93 years old, he designed the first training centre in the 1950s and the Academy of Schinznach-Bad decades later, and he was our guest of honour at the opening ceremony of the new Academy in Lupfig in August 2024. The special nature of our family business, which has around 800 trainees and 7,500 employees, can also be seen in the digital world with #GenAMAG.

We are setting the course today for the mobility of tomorrow. For our employees, for our trainees. Together with our dealership and service partners, we will continue to offer our customers tailored solutions for their mobility needs and climate goals in 2025.