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Volkswagen to Dissolve Racing Division

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racing division
VW will redirect motorsport funds into EV development
Photo: Volkswagen

Volkswagen’s continuing dedication to its vision for an all-electric future has been well documented. 2020 saw the long-awaited launch of the ID.4, and more vehicles in the ID. family are set to release over the next few years. VW’s ambitious goals, while certainly achievable, are expected to come with a hefty price tag. With this in mind, the automaker has made the decision to dissolve its racing division and channel the extra funds into EV development.


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VW’s racing division closes shop

News of VW’s decision regarding its racing division came on Tuesday. Dr. Frank Welsch, Volkswagen board representative for development, made the announcement via a press release.

“The Volkswagen brand is on the way to becoming the leading provider for sustainable e-mobility,” Dr. Welsch explains. “To this end, we are pooling our strengths and have decided to terminate the Volkswagen brand’s own motorsport activities. The motorsport workforce will be integrated in Volkswagen AG. The deep technical expertise of the motorsport employees and the know-how gained from the ID.R project will remain with the company and will help us put further efficient models from the ID. family on the road.”

VW’s history with motorsports is a long and fascinating one. Most recently, the electric ID.R prototype broke a slew of course records at venues like Pikes Peak, Goodwood, and the Nürburgring. Unfortunately for those hoping to see the prototype further refined, it looks like the ID.R will be heading into an early retirement.

The last few years have seen a decrease in racing and motorsport activity for VW. The cancelation of the legendary Beetle in 2019 also saw the end of its racing counterpart, the advanced Beetle R. The Atlas Cross Sport R racing truck also never saw action on the track.


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Although its presence will be missed at racetracks around the world, VW has big plans for the money being reallocated from the racing division. In the end, leaving motorsports behind may be a necessary step in seeing their EV plans through to fruition.