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Volkswagen CEO warns that delayed transition to electric vehicles could create 30,000 jobs

Berlin: Volkswagen CEO Herbert Diess told the auditors in September that if the transition to electric vehicles (EVs) was too late, it could lose 30,000 jobs.

Competition with new entrants to the German market, such as Tesla, has accelerated the company’s transformation, Dís is said to have told attendees.

US EV makers produce 500,000 cars a year in Germany and employ 12,000 people, while Volkswagen’s 25,000 cars produce only 700,000 at the Wolfsburg plant.

A spokesman for a company confirmed Dís’ position that the presence of Tesla and others in Germany made the transition to EV more urgent, but the number of jobs that could be lost in the process. Denied that a concrete calculation was made about.

Volkswagen spokesperson Michael Mansuke noted that Tesla and the new Chinese automaker are expanding into Europe, “to address the competitiveness of Wolfsburg’s plants from the perspective of new market entrants. There is no doubt that it must be done. “

“Tesla sets new standards for Grunheide productivity and scale,” he said, with a peak production capacity of 5,000 to 10,000 vehicles per week at the Tesla plant under construction near Berlin, in Germany. Battery Electric Vehicle (EV) 2020 production.

“It’s currently under discussion and we already have a lot of great ideas. There are no concrete scenarios,” he said.

The statement of Dís was first reported by Handelsblatt.

A spokesman for Volkswagen’s Workers’ Council did not comment on whether Dís said, but said “the reduction in 30,000 jobs is ridiculous and unfounded.”

Another union spokesman for Volkswagen’s second-largest shareholder in Lower Saxony said such cuts were “out of the question.”

EVs require far fewer parts than internal combustion engine vehicles, requiring fewer workers to manufacture. According to one estimate, the German automobile industry could lose 100,000 jobs by 2025 as a result of electrification.

Volkswagen’s largest Wolfsburg plant in the world, which employs more than 50,000 people, does not currently manufacture EVs, but the company plans to produce electric sedans from 2026 under the plan of “Project Trinity”. ..

Dís had previously said that Tesla would fuel the competition in Germany.

German car giants are considering listing their car charging and energy businesses in addition to their existing IPO plans for the battery sector, Chief Technology Officer Thomas Schmall told Magazin manager in an interview released Wednesday. rice field.

Mr Schmol said nothing has been decided yet and it will probably take up to two years for the new company to be established and enter the stock market.

(This story shows that modifying the headline and delaying the transition to EV is costly to work. Moving to EV is not costly to work.)

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Volkswagen CEO warns that delayed transition to electric vehicles could create 30,000 jobs

Source link Volkswagen CEO warns that delayed transition to electric vehicles could create 30,000 jobs

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