
Struggling German carmaker Volkswagen is in talks with defence firms to repurpose a plant in northern Germany for the production of military transport equipment, the firm's boss said Friday.
Europe's biggest auto manufacturer is battling a crisis due to factors ranging from a stuttering shift to electric cars and fierce Chinese competition, and the 10-brand Volkswagen Group is in the process of cutting 50,000 jobs by 2030.
As part of the savings plans, car production is due to end at a factory in the city of Osnabrueck, and the group has been exploring other uses for it.
"We are in contact with various defence companies," Volkswagen Group CEO Oliver Blume said at a congress organised by the FAZ newspaper in Frankfurt.
"This could also be a solution for Osnabrueck," he added.
The Financial Times reported this week Volkswagen is in talks with Israel's Rafael Advanced Defence Systems to switch production at VW's Osnabrueck plant to make components for the Iron Dome air defence system, including heavy-duty trucks and electricity generators but not the projectiles themselves.
Volkswagen could benefit from the expansion into the defence sector, which is booming as Europe re-arms. That could help offset losses at its carmaking business, with profits last year at their lowest for almost a decade.
Blume however insisted that Volkswagen was "not concerned with weapons systems".
"The Volkswagen company's activities in the defence sector would rather focus on military transport, because that is our core competence."
Volkswagen's Osnabrueck site currently employs about 2,300 people making the T-Roc Cabriolet as well as the Cayman and Boxster for sister brand Porsche.
The agreement to wind down production there was part of an agreement struck with unions at the end of 2024.
Asked about the FT report earlier this week, a government spokesman declined to comment directly.
But he noted that "the automotive industry is undergoing a transformation and faces intense international competition."
"We naturally welcome initiatives that secure jobs in Germany."
vbw/sr/gv
LATEST POSTS
- 1
7 Powerful Techniques to Boost Efficiency with Your Cell Phone: A Far reaching Guide - 2
Sexual violence part of 'everyday life' in parts of Sudan, charity says - 3
Have gravitational waves provided the first hint of primordial black holes born during the Big Bang? - 4
The most effective method to Boost Benefits in Gold Speculation: Master Techniques and Tips - 5
Dental Embed Developments: Upsetting Current Dentistry
Parents speak out as 4-year-old fights button battery injury in intensive care unit
Family Matters: Tips and Guidance for Effective Nurturing and Everyday Life
What we know about the 'Stranger Things' spinoff — plus the one cast member who guessed it correctly
Step by step instructions to Contrast Lab Jewels and Regular Ones
Explosions heard across Tehran after IDF announces wave of strikes on regime terror targets
Birutė Galdikas: The last of the ‘angels’ in primatology’s most extraordinary chapter
2024 Manual for Light Extravagance Room Feel: What's Moving
An Extended period of Voyaging Carefully: the World with Reason
Are IDF reservists properly armed during post-war operations?












