
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
Misinterpretations and Mistakes Portrayed by Hollywood in the General set of laws - 2
Instructions to Keep an Inspirational perspective After Cellular breakdown in the lungs Treatment - 3
Inside the alleged Russian operation to trigger anti-government protests in Angola - 4
A definitive Manual for Internet Mastering and Expertise Improvement - 5
Building a Maintainable Closet: Individual Excursions in Moral Style
Step by step instructions to Contrast Lab Precious stones and Normal Jewels
Israel says it will keep control over part of southern Lebanon after war with Hezbollah ends
Top 15 Style Creators Changing the Business
The most effective method to Shake Hands During a Pandemic: Wellbeing Tips and Behavior
Beyond oil: The crucial exports blocked by Hormuz closure
Nitty gritty Manual for Picking Agreeable Tennis shoes
Sentimental tree to shine at Arctic League annual broadcast
Israel faces tough choices over haredi draft exemptions, legal expert warns
New Gaza militia declares war on Hamas: 'Your dirty shoes are more honorable'













