Volkswagen of America has reported a double-digit drop in third-quarter sales, even as two of its flagship models continued to perform strongly. The decline comes amid a broader shift in the U.S. market, where hybrid vehicles are gaining rapid traction and altering the competitive landscape. Industry analysts suggest the shift reflects changing consumer preferences toward more fuel-efficient alternatives. The company now faces the challenge of adapting its lineup to meet evolving demand.


Volkswagen of America, despite strong performances from two key models, saw sales decline by double digits in the third quarter. Surging popularity of hybrids is reshaping the race for U.S. sales ...