Volkswagen is facing a challenging period as its profits slump amidst mounting competition from Chinese automakers. The company's CEO has indicated that the battery electric share of sales is expected to be around 9-10% for the remainder of the year. Additionally, the Chinese government is open to discussions on proposed tariffs on China-made electric vehicles (EVs), aiming for a fair solution. Volkswagen, along with BMW, has warned about the potential impact of the European Union's tariffs on China-made EVs, which could escalate into a trade war between Europe and Beijing. The automakers are also dealing with waning electric car sales and weak demand in China, leading to cost-cutting measures and new partnerships. Volkswagen's stock has dipped on mixed results.