Wednesday, June 28, 2023

VW Cuts Back On EV Production, Citing Poor Sales

[Auto Styling News]


Volkswagen is temporarily cutting back production of e-cars at its Emden plant in the German seaport town of Lower Saxony, citing flagging sales, according to the works council. In the next two weeks until the plant vacations, the late shift in the production of the ID.4 compact SUV and the first models of the new ID.7 electric sedan will be canceled, works council head Manfred Wulff said in response to a question, confirming a report in the "Nordwest-Zeitung" newspaper. 

A VW spokeswoman in Emden told the paper, "We are confident that capacity utilization at the plant will increase again with the market launch of the ID.7 at the end of the year."

The workforce was informed of the move on Monday, the works council said. According to the statement, while production of combustion models, such as the Passat, will continue unchanged, the three-week plant vacation for employees in the E-segment is also to be extended by one week. In addition, around 300 of the 1,500 temporary workers currently employed in Emden are not to be kept on from August.

For the past decade, The German automaker has been promising an electric version of its wildly popular VW Van. But its success was pinned to the nostalgia of Baby Boomers (1946-1964) who remembered the original. The oldest cohort of the group is in their 70s now, and are unlikely to be buying "family vans."

In February, VW booted it's design chief, who was a proponent of "retro" designs.
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Auto Styling News is a blog that covers car concepts, newly released models, and the auto industry.

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