Germany: VW plant closures remain a point of concern for state official

Lower Saxony's Minister-President Olaf Lies remains critical of any potential plant closures within the Volkswagen (VW) group, describing such measures as "no future solution." Lies emphasized that the company's large size presents an opportunity, and questioning it "would be truly fatal."

“

This is 'no future solution.'

His remarks follow comments by VW CEO Oliver Blume, who had previously characterized the automotive giant as "over-dimensioned." Lies advocated for leveraging growth opportunities, particularly in the electric mobility market, and improving synergies between VW's various brands. He suggested exploring efficiencies, such as reducing the "too large variability of different vehicles, of equipment."

“

The size of the group is an opportunity. To question it, 'would be truly fatal.'

Lies also proposed production for the defense industry as a potential way to ensure plant utilization during certain periods. Meanwhile, VW CEO Blume is scheduled to present future concepts for the group to employees at extraordinary works meetings in Wolfsburg and Braunschweig. The company is seeking to outline its strategy amidst ongoing discussions about its structure and future direction.

“

Have we perhaps too great a variability of different vehicles, of equipment?