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VW’s Zwickau EV Plant Restarts as Berlin Presses Incentives, Group Tightens Cuts

Output remains far below capacity, with the site’s future model lineup uncertain pending details of a €3 billion purchase program.

Overview

  • Production resumed after a week-long pause at Zwickau, which can build over 300,000 cars annually but is running at a little over 200,000.
  • Saxony’s Michael Kretschmer and Federal Environment Minister Carsten Schneider visited the factory, pledged support, and urged rapid clarity on roughly €3 billion in EV purchase incentives and cheaper charging.
  • VW’s planning points to the ID.4 shifting to Emden, with reporting indicating the ID.3 will not move next year, the Cupra Born could remain, and the Audi Q4 e-tron continues for now.
  • Recycling and other circular-economy activities are being explored for freed capacity, though such work is expected to create only a few hundred jobs.
  • Workers and suppliers protested over job security as a local deal safeguards about 9,200 positions through 2030, while CEO Oliver Blume confirmed job reductions of over 35,000 at VW brand, 7,500 at Audi and around 4,000 at Porsche.