
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
New movies to watch this weekend: See 'Predator: Badlands' in theaters, rent 'Black Phone 2,' stream Guillermo del Toro's 'Frankenstein' on Netflix - 2
NASA’s history-making moon mission aims to send the first woman and person of color to deep space - 3
The Most Encouraging New companies to Look Out For - 4
Phonetic Associations: A Survey of \Interfacing Worldwide People group\ Language Trade Application - 5
HGV driver recruited others to smuggle migrants
The most effective method to Promoter for Cellular breakdown in the lungs Mindfulness in Your People group
10 Setting up camp Shelters That Offer Both Excellence and Isolation
French lawmakers narrowly approve health care budget, suspending Macron's flagship pension reform
Katz to Hezbollah chief Qassem: You won't live to see Israel’s full response to Passover attacks
From Fledgling to Master: Self-awareness in a Side interest
'We are ready': NASA still on track to launch Artemis 2 astronauts to the moon April 1
Instructions to Redo Your Kona SUV for Improved Tasteful Allure and Usefulness
NASA Artemis II tracker: Where is the Orion now and when will it reach the moon?
Gulf countries continue to face Iran attacks as criticial energy infrastructure at risk













