
Struggling German carmaker Volkswagen is in talks with defence firms to repurpose a plant in northern Germany for the production of military transport equipment, the firm's boss said Friday.
Europe's biggest auto manufacturer is battling a crisis due to factors ranging from a stuttering shift to electric cars and fierce Chinese competition, and the 10-brand Volkswagen Group is in the process of cutting 50,000 jobs by 2030.
As part of the savings plans, car production is due to end at a factory in the city of Osnabrueck, and the group has been exploring other uses for it.
"We are in contact with various defence companies," Volkswagen Group CEO Oliver Blume said at a congress organised by the FAZ newspaper in Frankfurt.
"This could also be a solution for Osnabrueck," he added.
The Financial Times reported this week Volkswagen is in talks with Israel's Rafael Advanced Defence Systems to switch production at VW's Osnabrueck plant to make components for the Iron Dome air defence system, including heavy-duty trucks and electricity generators but not the projectiles themselves.
Volkswagen could benefit from the expansion into the defence sector, which is booming as Europe re-arms. That could help offset losses at its carmaking business, with profits last year at their lowest for almost a decade.
Blume however insisted that Volkswagen was "not concerned with weapons systems".
"The Volkswagen company's activities in the defence sector would rather focus on military transport, because that is our core competence."
Volkswagen's Osnabrueck site currently employs about 2,300 people making the T-Roc Cabriolet as well as the Cayman and Boxster for sister brand Porsche.
The agreement to wind down production there was part of an agreement struck with unions at the end of 2024.
Asked about the FT report earlier this week, a government spokesman declined to comment directly.
But he noted that "the automotive industry is undergoing a transformation and faces intense international competition."
"We naturally welcome initiatives that secure jobs in Germany."
vbw/sr/gv
LATEST POSTS
- 1
Elanco's drug gets emergency nod to treat deadly flesh-eating parasite in cats - 2
Mississippi Insight for Jan. 11, 2026 - 3
From Amateur to Master: My Involvement in Photography - 4
Top Music and Dance Celebration: Which One Gets You Going? - 5
Get Cooking: 15 Speedy and Heavenly Recipes for Occupied Individuals
Lucrative Positions in the Advancing Position Market of 2024
Daily Briefing: A bad flu season gets worse
4 well known subjects in school
6 Fun Urban areas For Seniors To Travel
Israeli lawmakers pass bill reviving death penalty for terrorists
Figure out How to Use the Experience of a Fender bender Legal counselor for Your Potential benefit
Creative Tech Contraptions That Will Work on Your Life
Jamie Dimon warns Iran war could drive inflation, interest rates higher
Why the UAE has incurred the wrath of Somalia













