Volkswagen Group Adjusts Production Plans Amidst Lower Demand

By David Sachs

Volkswagen Group has made the decision to temporarily pause production of two electric car models and curtail production of others in October due to lower-than-expected demand.

Changes in Production Schedule

The German car maker will halt production of the Volkswagen ID.3 and the Cupra Born models at its factory in Zwickau, Germany, from October 2 to October 13, as a result of flagging demand. This pause will also affect the company's Dresden plant, the final location in the ID.3 production line. Production at the Dresden plant is scheduled to resume on October 16.

Additionally, production of Audi models and other Volkswagen brand cars at the Zwickau factory will experience a slowdown for a period of two weeks, according to a company spokesperson.

Market Uncertainty Drives Decision

While announcing the production adjustments, the spokesperson stated, "We are forced to change our production plans in order to reconcile the market situation, and at the moment there is uncertainty in the market."

Sales Figures and Industry Trends

From January through August, Volkswagen Group car sales in the European Union saw a significant increase of 23% in comparison to the same period last year. Sales reached a total of 1.9 million units, as reported by the European Automobile Manufacturers' Association. Notably, electric vehicle sales exceeded 20% of EU car sales for the first time in August, according to the industry group.