Posted by Liana Harrow
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When you walk into a car dealership in the U.S., you’re likely to see more Toyotas than any other brand. But if you’re in Germany or China, Volkswagens might be just as common. So who’s really bigger? It’s not just about how many cars you sell in one country-it’s about global reach, production volume, and total revenue. Let’s cut through the noise and compare Toyota and Volkswagen head-to-head with real numbers from 2024.
In 2024, Toyota sold 11.2 million vehicles worldwide. That’s more than the next three competitors combined. Volkswagen sold 8.9 million. That’s a gap of over 2.3 million cars-roughly the entire annual output of Hyundai or Ford. Toyota’s lead isn’t new. It’s held the top spot in global sales since 2008, except for one year when Volkswagen briefly surged in 2016. But since then, Toyota has pulled away steadily.
Why? It’s not just one model. The Corolla alone sold 1.1 million units in 2024. The RAV4 added another 1.05 million. The Camry, Highlander, and Tacoma all sold over 500,000 each. Toyota doesn’t rely on a few hit models-it has a full lineup that works everywhere, from rural Alaska to urban Mumbai.
Volkswagen, on the other hand, leans harder on Europe and China. Its best-seller, the Golf, sold just 380,000 globally in 2024. The Tiguan and Polo did well, but nothing comes close to Toyota’s volume spread. Volkswagen’s sales in North America dropped 4% in 2024, while Toyota’s grew 6%.
Toyota operates 136 manufacturing plants across 27 countries. Volkswagen runs 122 plants in 18 countries. At first glance, that’s close. But here’s the catch: Toyota’s plants are smaller, more flexible, and spread across emerging markets. In India, Thailand, Brazil, and South Africa, Toyota builds cars locally to avoid tariffs and meet demand. Volkswagen’s footprint is concentrated in Europe and China, with far fewer facilities in Latin America or Southeast Asia.
Toyota’s annual production capacity is 12.5 million vehicles. Volkswagen’s is 10.1 million. That’s not just a number-it means Toyota can ramp up production faster when demand spikes. When supply chains broke down in 2021-2022, Toyota lost fewer vehicles to shortages because its suppliers were more distributed. Volkswagen had to shut down plants in Germany and Mexico for weeks.
Toyota’s 2024 revenue was $318 billion. Volkswagen’s was $306 billion. On paper, that’s a tight race. But profit tells a different story. Toyota’s net profit was $28.4 billion. Volkswagen’s was $17.9 billion. That’s a 60% gap in profitability.
Why? Toyota sells more high-margin vehicles-Hybrids, SUVs, trucks. The Prius, RAV4 Hybrid, and Tacoma have profit margins above 15%. Volkswagen sells a lot of economy cars like the Polo and Virtus, which have margins under 8%. Its luxury brands-Audi, Porsche, Bentley-help, but they only make up 12% of total sales. Toyota’s luxury arm, Lexus, accounts for 18% of its volume and brings in 25% of its profit.
Toyota also spends less on marketing. It doesn’t need flashy Super Bowl ads. People trust the brand. Volkswagen spent $7.2 billion on advertising in 2024. Toyota spent $4.1 billion.
Both companies are investing billions in EVs. Toyota sold 1.3 million electrified vehicles in 2024-92% of them were hybrids. Only 110,000 were full battery EVs. Volkswagen sold 1.2 million electrified vehicles, with 780,000 being full EVs. On paper, Volkswagen looks ahead.
But here’s the twist: Toyota’s hybrid strategy has been more profitable and practical. Most people in the U.S. don’t have reliable home charging. Toyota’s hybrids don’t need plugs. They deliver 40+ MPG without range anxiety. Volkswagen’s ID.4 and ID.3 are great cars, but they’re still expensive to produce and sell at a loss in many markets.
Toyota plans to launch 30 new EV models by 2030. Volkswagen is aiming for 70. But Toyota’s EVs will be built on existing platforms, lowering costs. Volkswagen is rebuilding entire factories. That’s expensive. In 2024, Volkswagen lost $1,800 per EV sold on average. Toyota made $3,200 per hybrid sold.
In the United States, Toyota’s market share in 2024 was 15.3%. Volkswagen’s was 3.1%. That’s not even close. Toyota outsold Volkswagen by more than 5 to 1. The RAV4 was the #1 best-selling vehicle in the U.S. last year. The Corolla was #3. Volkswagen’s best-selling model, the Tiguan, ranked #42.
Why does this matter for dealerships? Because Toyota brings in more customers, more trade-ins, and more service visits. A dealership selling 100 Toyotas a month will likely sell 20 Volkswagens at most. That affects inventory, staff training, and parts ordering. Dealerships know this. That’s why Toyota dealerships are more common, larger, and better stocked.
Toyota has the highest customer loyalty rate in the industry: 56%. That means more than half of people who buy a Toyota will buy another one next time. Volkswagen’s loyalty rate is 39%.
Toyota owners keep their cars longer. The average Toyota lasts 240,000 miles before being retired. The average Volkswagen lasts 175,000. That’s not just reliability-it’s trust. People don’t just buy Toyotas because they’re cheap. They buy them because they know they’ll still be running in ten years.
Volkswagen’s reputation took a hit after the diesel scandal in 2015. Even today, 41% of U.S. consumers say they still don’t trust the brand. Toyota hasn’t had a major scandal in 20 years.
If you measure by total vehicles sold, Toyota is bigger. By revenue, they’re slightly ahead. By profit, they’re way ahead. By EV sales, Volkswagen leads-but not by much, and not profitably. By market presence in the U.S., Toyota is the clear winner.
But Volkswagen is bigger in Europe. It’s the top-selling brand in Germany, France, and Spain. It has stronger ties to government fleets and public transport. Toyota doesn’t compete there the same way.
So who’s bigger? It depends on what you mean by “bigger.” If you mean global sales, production, profit, and customer loyalty-Toyota wins. If you mean electric vehicle ambition or European dominance-Volkswagen has the edge. But for most people, especially in the U.S., Toyota is simply the bigger brand in every way that matters.
Yes. Toyota has been the world’s largest automaker by vehicle sales since 2008, selling 11.2 million vehicles in 2024. That’s more than Volkswagen, Ford, and General Motors combined. Its global network, reliable models, and strong hybrid sales give it a consistent lead.
Volkswagen’s U.S. sales are limited because its lineup doesn’t match American preferences. It lacks strong SUVs and trucks, and its pricing is often higher than comparable Toyotas. The diesel scandal also damaged trust. Toyota, by contrast, offers practical, durable, fuel-efficient vehicles that Americans rely on daily.
Toyota has significantly better resale value. After five years, a Toyota retains about 65% of its original price. A Volkswagen retains closer to 50%. Models like the Corolla, RAV4, and Tacoma consistently top J.D. Power’s resale value rankings. Volkswagen’s resale value is hurt by higher repair costs and lower brand trust.
Generally, yes. According to Consumer Reports and J.D. Power, Toyota ranks in the top 3 for reliability every year. Volkswagen typically ranks in the bottom half. Common issues include electrical glitches, transmission problems, and costly emissions system repairs. Toyota’s engines and transmissions are known to last over 200,000 miles with basic maintenance.
If you want a car that lasts longer, costs less to maintain, and holds its value-choose Toyota. If you prioritize European styling, tech features, and are okay with higher long-term costs, Volkswagen might suit you. But for most U.S. buyers, Toyota delivers more value over time. Dealerships see this every day: Toyota buyers return more often, trade in more frequently, and refer more friends.