Why is VW Beetle discontinued?
None of these models achieved the level of success of the Beetle. The overdependence on a singular model, which was experiencing a decline in popularity, meant that Volkswagen was in a financial crisis and needed German government funding to produce the Beetle’s replacement. The Beetle faced competition from Japanese automakers such as Toyota and Honda, whose cars were uprated in reliability and performance. The closure of Volkswagen’s Pennsylvania factory was due to high costs, subpar quality, and poor sales.