Automotive News Europe — 2026-09-01
Automotive Industry
Volkswagen Group’s management board plans to propose ending production at four German plants between 2031 and 2034, German business outlet WirtschaftsWoche reported.
VW’s Emden and Zwickau plants would end production in 2031, followed by Hanover in 2032 and Audi’s Neckarsulm factory in 2034, WirtschaftsWoche said, citing a supervisory board document.
Emden builds the VW ID4 and ID7 electric cars, Zwickau builds the ID3, Cupra Born and Audi Q4 e-tron EVs, Hanover builds the ID Buzz electric van and Neckarsulm builds the A5 and A6 combustion engine cars, and the A8 sedan that ends production this year.
VW Group expects to sell 8.5 million cars worldwide in this year, down from 8.98 million in 2025, and is also planning extensive divestments of business units, WirtschaftWoche said, citing the supervisory board document.
The document mentions the sale or a stake reduction in holdings including Ducati, Traton, Gotion, QuantumScape and SGL Carbon, according to WirtschaftsWoche.
A VW spokesperson said the company does not comment on the contents of supervisory board documents.
VW Group’s supervisory board meets on Sept. 4 when CEO Oliver Blume will make a second attempt to push through radical cuts to boost profitability.
Under pressure from the Porsche-Piech owner families to cut jobs and production, Blume must break an impasse with the group’s labor and state government stakeholders, or find a way to bypass their influence, in a potentially explosive power struggle at the company.
Blume has said VW will not able to finance its future business with its low profitability amid aggressive Chinese competition, costly overcapacity in Germany and billions in U.S. tariff costs. He aims to lift margins to 9 percent. Second-quarter margin was 4.2 percent.
VW’s labor bosses have warned that as many as 140,000 jobs are at risk. The calculation includes 50,000 reductions already agreed in Germany, another 50,000 positions management has indicated may be needed globally, and about 40,000 jobs at four German plants.
VW stakeholders are discussing competing turnaround proposals ahead of the Sept. 4 meeting but a breakthrough is seen as unlikely, sources familiar with the talks told Reuters.