Europe’s largest carmaker is struggling. After the dramatically declining demand for its electric cars, it also has to deal with missing electric motors. Therefore, the production of selected models in Cvikov will be stopped for up to three weeks.
Former boss Herbert Diess wanted out of the concern Volkswagen to create a second Tesla. However, he failed to do so due to problematic software, difficulties with the start of production of the ID.3 hatchback and other complications, which is why he also retired from the top position last year. He was only able to come close to the American competitor in terms of the design of the Volkswagen ID., which, like Teslas, lacks a more expressive face (with the honorable exception being the ID. Buzz).
Volkswagen has had problems with its electric cars for practically several years straight. If he has so far registered a demand for approx 300,000 emission-free cars, this year’s predictions are roughly half. It is not only Europeans who are dealing with expensive energy, increasingly less affordable housing and unusually high inflation. Therefore, they often postpone the purchase of a new car indefinitely, which also applies to corporate customers.
Electric cars are also not helped by the gradual reduction of state subsidies for their purchase, due to which, as a result, their owners do not save as much on taxes and subsequent operation compared to models with internal combustion engines. It must be added, however, that manufacturers all over the world, including Ford, GM and Toyota, are facing falling demand, with the exception of the mentioned Tesla and many Chinese brands led by BYD.
At the same time, Volkswagen is currently facing further complications. It lacks new electric motors APP550, which are produced at the supplier in Kassel. Up to a three-week shutdown will affect the factory in Cvikov, specifically the production of models ID.4, ID.5 and sister’s Audi Q4 e-tron. The flagship model will also be partially affected ID.7, which originates in Emden. However, the latter has priority within the scope of power unit deliveries. Therefore, as soon as their production starts up again, it will be the first in line.
The smaller Volkswagen ID.3 and sister Cupra Born (both cars also come from Cvikov) will not be affected by the break. The pair of compact hatchbacks use older and weaker units, with the production of which there are no problems.