VW EV sales are up in South America, Canada and Europe. It's true that their total global numbers are down, but that's mainly because they lost like 30% in China. Which obviously sucks considering how big the Chinese market is, but then, the Chinese market is it's own sort of thing.
Don't get me wrong, I think your point is valid for a lot of traditional European car brands. Mercedes is certainly one of them which has lost it's "our engines are nicer" brand, but I suspect VW is one of the brands that will do just fine. Especially with the id polo coming out next year.
I mean, given the fuel prices it would be very nice, alongside more charging infrastructure in the EU. :(
Not to detract from the overall point, though to be honest, it's probably worthwhile to do improvements and refinements with the current technology, even if the future holds something vastly different. Both cause of gaining expertise and also maybe an improvement or two along the way, that might carry forward.
Like I haven't seen many steam locomotives around and for me the difference between saturated steam engines and superheated ones isn't very material in regards to transportation, but the latter is used in modern turbines.