Sunday, January 19, 2025

Volkswagen demands 5-year support for electric cars

If Volkswagen is to put cheaper electric cars on the roads, the brand needs government support for at least another five years, says director Thomas Schäfer.

In an interview with Auto Motor och Sport , Volkswagen's director, Thomas Schäfer, makes no secret of the fact that the brand cannot survive without government support for the next five years.

At least not if the goal is to have cheaper electric cars on the streets.

– There is no long-term perspective. Just like in Germany, subsidies for electric cars disappeared overnight.

– It's too early, even though prices are coming down. If we are going to be able to deliver cheap electric cars to everyone, we need support for the next five years, says the director.

The request for government support is not that different from other car brands. Ford also believes that electric cars should receive more support.

German Chancellor Olaf Scholz recently even went so far as to demand that all other EU countries also support electric cars.

That the bill can only have one place – namely with taxpayers who do not necessarily buy electric cars – Scholz refused to comment when he visited Ford's factory in Cologne.

We need sales promotions that work across Europe, the Chancellor said , according to Handelsblatt.

Back at Volkswagen, things are looking bleak. Management believes it is necessary to close several of the brand's factories in Germany, something that has never happened before.

The finance director believes that the economy is so bad that the car brand only has two – maybe three – years to turn things around. That is, because it is too late. In connection with the factory closures, Volkswagen management will not rule out the possibility of layoffs.

This has already happened to Audi, which is also part of the VW Group. After unsuccessful negotiations, the German brand has decided to close its only factory in Belgium. This will leave only one car factory in the entire country. The decision means that 3,000 employees will lose their jobs.

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