
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
Wonderful Sea shores All over the Planet - 2
Global measles cases drop 71% in 24 years as vaccination coverage improves, WHO says - 3
Why are malnutrition deaths soaring in America? - 4
In Antarctica, photos show a remote area teeming with life amid growing risks from climate change - 5
Amid Iran war, 53 of Israel's future scientists showcase projects in Jerusalem contest
Iran plans new restrictions in overhaul of Strait of Hormuz rules
Blue Origin launches New Glenn rocket on company's first NASA-scale science mission
Iran war drives global fertilizer prices up, raising food cost fears
Sanofi to acquire hepatitis B vaccine maker Dynavax for $2.2 billion
What happened in 'Wicked' part 1 and will there be a 3rd movie? Recap and what Ariana Grande, Jon M. Chu have said about a sequel.
Ageless Tastefulness: An Outline of Valuable Gemstones and Adornments
Israel scales back use of top missile interceptors as Iran barrages persist
Instructions to Clean and Really focus on Your Lab Precious stone
The most effective method to Help a Friend or family member Determined to have Cellular breakdown in the lungs













