VW Luxury Brand Sales Drop as US Tariffs Hit European Cars (1)

Volkswagen AG sold fewer of its most profitable cars in the second quarter as US tariffs cut into deliveries of premium European brands.

Sales of Porsche, Audi, Lamborghini and Bentley vehicles declined 7.7% to 480,200 units in the three months through June, highlighting the strain President Donald Trump’s duties are putting on VW’s high-margin marques.

The tariff pain is being felt beyond the premium brands. VW’s group sales dropped 16% in the US during the second quarter, a sharp reversal from the 4.4% growth in the first three months of the year, before the new levies came into effect.

Europe’s ...