Volkswagen weighs closure of four factories in Germany

German automotive giant Volkswagen is considering shutting down four production plants in Germany as part of a broader cost-cutting strategy, Der Spiegel reports, citing sources on the company’s supervisory board.

According to the publication, production could end at the Zwickau and Emden plants in 2031, the Hanover facility in 2032, and the Audi plant in Neckarsulm in 2034. The affected sites employ around 40,000 workers.

Volkswagen is also planning to eliminate about 50,000 jobs by 2030, further tightening its restructuring program.

Under the proposed plans, vehicle models currently manufactured in Germany would be shifted to Eastern European countries, particularly Hungary and Slovakia. German production sites could be repurposed for other uses, including potential sales to defence companies.

In late June, Manager Magazin revealed that Volkswagen intends to cut up to 100,000 jobs worldwide over the coming years.

The reported plans underscore the challenges facing Germany’s automotive sector, which has been struggling with a deepening industry crisis. Several carmakers and automotive suppliers have already announced workforce reductions in recent months.

By Jeyhun Aghazada