Volkswagen Downsizing Its Electric Vehicle Factory Due to Low Demand

Volkswagen is downsizing its largest electric vehicle factory due to low demand

German automotive giant Volkswagen is experiencing difficult times at its Zwickau factory. The company converted into an electric vehicle production facility with an investment of 1.2 billion euros in 2018.

The facility in Germany, which has around 10,700 employees, produces electric vehicles such as ID.3, ID.4, Cupra Born, and Audi Q4 e-tron. According to Autonews, more than 2 thousand employees whose contracts will expire are planned to be laid off after October due to the low demand for these vehicles.

VW, which is far behind Tesla and Stellantis in Europe, is also experiencing difficulties in launching its new models. It is stated that the German giant hopes to start a rise again in electric vehicle sales with the ID.7.