Japanese Media: Volkswagen, Lost in Transition, Considers Producing Cars for Chinese Partners
On June 10, Japanese media outlet Nikkei News reported under the headline "Volkswagen to Cut Global Production Capacity by 10%, Exploring Production for Chinese Brands."
Volkswagen, the world's second-largest automaker after Toyota, announced a reduction of global production capacity by 10% from current levels, aiming for 9 million units. The company emphasized that it is currently considering using its own factories to produce vehicles for Chinese partners and sell them locally.
According to reports, Volkswagen’s projected global new car sales for 2025—including subsidiaries such as Audi and Porsche—are expected to reach 8.98 million units, while current production capacity stands at around 10 million units, with an additional 1 million units of spare capacity available. Due to low production load at German plants and high labor costs, the group plans to cut up to 50,000 jobs by 2030.
In addition, Volkswagen is also considering producing low-cost cars developed in China and manufacturing models for Chinese brands in facilities operating below full capacity.
The Financial Times has already reported that Chinese EV company XPeng is in talks with Volkswagen regarding potential collaboration.
Japan should not only pay attention to struggling domestic manufacturers but also closely monitor the rapidly evolving global automotive landscape driven by electrification and intelligentization.
Original Source: toutiao.com/article/1867673897799687/
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