
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
Instructions to Pick the Best Album Rates for Your Investment funds - 2
Far-right AfD invited back to Munich Security Conference in 2026 - 3
Will your baby get a hep B vaccine? What RFK panel's ruling means. - 4
BravoCon 2025: How to watch, full schedule and lineup, where to stream free and more - 5
Understanding Various Sorts of Financial balances: An Extensive Outline
5 Advancement Developments in Biotechnology
Burger King launches 'SpongeBob' menu ahead of film's release. A look at the Bikini Bottom-inspired meal, plus what taste testers are saying.
These 2 companies are teaming up to offer insurance for space debris strikes on satellites
White House responds to Sabrina Carpenter after pop star slams 'evil' ICE video using her song
Instructions to Clean and Really focus on Your Lab Precious stone
Vote in favor of Your Number one BWM Vehicles
Flourishing in Retirement: Individual Accounts of Post-Profession Satisfaction
19 Strange Motion pictures You Shouldn't Watch With Your Mum
US FDA panel to weigh bid to market nicotine pouches as lower-risk than cigarettes











