Volkswagen Increases Production in Wolfsburg Amid Strong Demand

Volkswagen is ramping up production at its main plant in Wolfsburg due to a surprising surge in demand for its vehicles. This decision marks a significant shift for the automaker, which has recently faced challenges related to overcapacity, workforce reductions, and potential plant closures.

According to a spokesperson from the company, Volkswagen plans to implement special shifts during eight weekends in May, June, and July to meet the rising demand. Internal communications obtained by the press indicate that all production lines in Wolfsburg will be affected, with a particular focus on the popular Golf and Tiguan models. A total of 16 additional shifts have been scheduled in the assembly line, along with other adjustments in the bodywork and painting departments.

Unlike its electric vehicle factories in Emden and Zwickau, which are currently producing only electric models, the Wolfsburg plant continues to manufacture conventional combustion engine vehicles that are currently seeing high demand. In the first quarter, Volkswagen's core brand recorded a sales increase of over five percent compared to the previous year.

Last year, production levels at the Wolfsburg plant surpassed those of previous years, even as other factories experienced production cuts, particularly those focused on electric vehicles. The recent decision to increase production comes in light of the company's ongoing efforts to balance its operations with current market conditions.

In December, Volkswagen and the IG Metall union reached an agreement on a comprehensive cost-saving program that included workforce reductions and the scaling back of production capabilities. As part of this plan, Volkswagen aims to reduce its workforce in Germany by 35,000 positions by 2030, while also decreasing the plant's technical capacity from over 900,000 vehicles annually to below 600,000.

Historically, the Wolfsburg plant has not been fully utilized; last year, production figures totaled 523,000 vehicles, falling below 500,000 in prior years. The company anticipates production could rise to as high as 600,000 vehicles this year.

The Wolfsburg facility primarily serves the European market, with minimal exports to China and the United States. In addition to the Golf and Tiguan, the plant also produces the Touran and Tayron models. The Tiguan has consistently been the best-selling model within the Volkswagen lineup.