Weak demand, new model ramp up hit Europe’s top automakers

European car giants Volkswagen, Mercedes-Benz and Stellantis all posted lower sales and first-quarter revenue this week as they geared up to launch new models, faced higher costs and were hit by weaker demand for new cars as interest rates remain high.

The news hit the automakers’ stocks. Mercedes (MBGn.DE) shares were down 4.4 per cent, Stellantis 4 per cent and Volkswagen 2.7 per cent.

Mercedes, Volkswagen, Stellantis and BMW (BMWG.DE) were among the biggest fallers on Europe’s...