Volkswagen announced on Friday that it will temporarily halt production at two of its German electric vehicle plants, highlighting ongoing challenges in the country’s auto sector.
A company spokesperson told AFP that production at the Zwickau and Dresden sites in eastern Germany will be suspended for one week in early October. "We are adapting our production program to the market situation," the spokesperson said.
Financial news agency Bloomberg also reported that Volkswagen plans to stop factory lines for a few days at its Emden plant in northern Germany, though the company declined to confirm details regarding that facility.
The pause comes as automakers in Europe face sluggish demand for electric vehicles. High up-front costs and limited charging infrastructure have made many consumers hesitant to make the switch.
Volkswagen’s Zwickau and Dresden factories produce cars for the ID. family of electric vehicles. Zwickau also manufactures the Q4 e-tron for Audi, one of the 10 brands under the Volkswagen Group.
The slowdown follows similar moves in the industry. Automotive supplier Bosch announced this week it will cut 10 percent of its German workforce, citing weak demand for EVs. Earlier this month, Ford said it would reduce up to 1,000 jobs at its Cologne plant, which also produces electric vehicles.
Volkswagen has previously agreed with unions to cut 35,000 jobs by 2030 as part of broader cost-saving measures. The company continues to face challenges beyond the shift to electric cars, including stiff competition in China and softening demand across Europe.