CEO Oliver Blume confirmed Volkswagen Group will reduce its model lineup by 50%.
The company will also cut vehicle complexity by 75%.
This strategy targets lower manufacturing costs and higher profit margins.
Operating profits fell significantly in 2025.
Earnings continued to decline through the first half of 2026.
Volkswagen Group China will launch a new advanced driver-assistance system in the third quarter of 2026.
The technology will debut on seven new electrified models.