SEAT focuses on electric vehicles and resists EU tariffs and fierce competition

The context was not the most favorable: European customs duties penalizing CUPRA Tavascan, pressure on margins due to rising material costs, increasingly fierce competition, and the planned temporary reduction in production at Martorell due to the plant's reconversion for the future Electric Urban Car. Yet, the Spanish automotive group remained steadfast, managing to reverse course in the second quarter.

Markus Haupt, interim CEO of SEAT SA, doesn't hide the challenges, but he remains optimistic: "We anticipated a competitive environment and are addressing it with determination. The second quarter shows positive signs, and we will continue working to maintain this momentum in the second half of the year."

And the numbers confirm it. Operating profit, which had stalled at just €5 million in the first quarter, rose to €38 million in the following three months, a leap that restores confidence and rewards management's efforts. Patrik Andreas Mayer, Vice President for Finance and IT, also emphasized the importance of staying true to the long-term strategy, focusing decisively on electrification, efficiency, and cost control.

In the first half of 2025, total deliveries increased by 1.7%, reaching 302,600 units, despite the production slowdown that limited output to 244,700 vehicles compared to 291,600 in the same period of the previous year. The CUPRA Formentor remains the group's best-selling model, with over 54,000 units delivered, while electric cars are finally gaining ground: electrified models are growing by 76%, and BEVs are doubling, thanks to the success of the CUPRA Born and the introduction of the Tavascan.

CUPRA is the true driving force behind the group's transformation. In the first half of the year, it delivered 167,600 vehicles, a 33.4% increase and the best half-year result in its young history. Founded only in 2018, it has already surpassed 900,000 vehicles sold globally, rapidly approaching one million. This milestone positions it among the most dynamic emerging brands in the entire European automotive industry.

However, CUPRA is also facing complex strategic decisions. The announced entry into the US market, initially scheduled for 2030, has been postponed. This move reflects the uncertainty of global dynamics and the brand's desire not to rush things. Sven Schuwirth, Head of Sales and Marketing, confirmed that expansion will continue in high-potential markets, strengthening the brand's global identity.

On the industrial front, preparations continue unabated for the production of the Electric Urban Car, entrusted to SEAT SA by the Volkswagen Group. The Martorell production line will be converted to accommodate the 2026 debut of the CUPRA Raval, the model designed to democratize electric mobility in Europe. This is a crucial undertaking, combining the group's vision with CUPRA's urban and electric vocation.

The rest of 2025 promises to be equally challenging. Global economic conditions remain unstable, inflation continues to impact value chains, and geopolitical uncertainty complicates industrial planning. But SEAT SA seems to have clear ideas. The recipe is transformation: moving from a traditional automaker to a key player in the new electric mobility market, capable of competing with established manufacturers and ambitious startups.

With CUPRA now consolidated as a global brand, offering seven models in seven years, and a lineup ranging from the sporty Formentor crossover to the electric Born, SEAT SA is preparing to reap the benefits of the investments made in recent years. 2025, from this perspective, will be remembered as a year of transition: complex but strategically crucial.

The second half of the year will tell whether the acceleration seen in the second quarter can be sustained. But one thing is certain: the Spanish group's determination and vision are stronger than ever, in an industry that, amidst the energy transition and new consumer habits, requires courage, flexibility, and the ability to reinvent itself.

SEAT SA H1 2025 Total sales: 302,600 vehicles (+1.7%) Production in Martorell: 244,700 vehicles (-16%) CUPRA Formentor: 54,700 units (best-selling model) CUPRA (total): 167,600 units (+33.4%) BEV sales: +105.3% Q1 operating profit: €5 million Q2 operating profit: €38 million

CUPRA Raval launch: scheduled for 2026