Volkswagen takes steps to boost its China business as first-half earnings fall by 20%

FRANKFURT, Germany (AP) — Volkswagen has seen after-tax earnings fall by 20% in the first half of the year from the same period last year. The decline to 8.5 billion euros, or $9.45 billion, comes as the automaker tries to engineer a rebound in China. The company said it took a non-cash loss on raw materials hedging in financial markets. The company said operating earnings, which exclude such effects, fell by a smaller amount. It reaffirmed its earnings outlook for the year and said it was taking steps to strengthen its business in China, where it has seen sales decline amid stronger local competition. Sales revenue increased 18.2% as the company stemmed some of its losses in China, where sales were down 1.2%.