Get App
Download App Scanner
Scan to Download
Advertisement
This Article is From May 13, 2020

VW Slows Output at Largest Factory Amid Tepid European Demand

(Bloomberg) -- Volkswagen AG will reduce output at its largest factory in Wolfsburg, Germany, on four days this month as consumer appetite for new cars remains weak in Europe.

Volkswagen will temporarily halt production on two assembly lines that make the Tiguan, Touran and Seat Tarraco models and cancel one shift at a separate line that produces the Golf hatchback, the company said Tuesday in an emailed statement.

“We have to keep operating flexibly depending on customers' vehicle orders,” the German carmaker said, adding that it hopes the situation will normalize as soon as possible.

The world's largest automaker gradually restarted output in Europe last month along with peers from Daimler AG to Renault SA after the coronavirus outbreak shuttered factories in March and most of April. But while lockdown measures are easing, many customers still stay clear of showrooms as the economic fallout of the crisis has started to push up unemployment across the region.

Volkswagen said while sales in China exceeded the prior-year level in April, it will keep adjusting output to demand until sales in Europe pick up.

©2020 Bloomberg L.P.

Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.

Newsletters

Update Email
to get newsletters straight to your inbox
⚠️ Add your Email ID to receive Newsletters
Note: You will be signed up automatically after adding email

News for You

Set as Trusted Source
on Google Search