Wednesday, April 9, 2025

Agreement: Volkswagen Golf will never be built in Germany again

Friday's settlement between Volkswagen and the IG Metall union means that the Golf will no longer be built in Germany. It will all be moved to Mexico.

A new crisis package to save the German car giant Volkswagen is causing major upheaval and factory closures.

35,000 jobs in Germany will disappear as a result of the "Zukunft Volkswagen" agreement, which was reached on Friday evening as a settlement between Volkswagen and the IG Metall trade union.

The agreement also includes a pay freeze for the remaining employees. The goal is to reduce capacity in Germany by 734,000 cars annually, thereby saving 3.5 billion Danish kroner.

One of the most significant changes is the relocation of Golf production from Wolfsburg to Puebla in Mexico.

The brand itself announced this in a press release .

Wolfsburg has been home to Golf production since the model's debut in 1974. But that will end in two years. The Wolfsburg factory will instead focus on producing the ID.3 and Cupra Born electric cars, as well as a new electric Golf, which is scheduled to be launched at the end of the decade.

The Dresden factory, which produces electric cars, will also be closed completely by the end of 2025. However, Volkswagen has hinted that the plant could possibly be part of a "third-party program." In addition, the Osnabrück factory, where the T-Roc Cabriolet is produced, is set to close in 2027. Unless an alternative is found.

Electric car production in Zwickau, where the ID.4 and ID.3 are currently manufactured, is also being significantly reduced. In future, the factory will only build the Audi Q4 e-tron and Audi Q4 e-tron Sportback on a single assembly line. Production of the ID.4 will be moved to Emden, where the ID.7 and ID.7 Tourer are currently produced.

Volkswagen management had originally wanted more extensive changes. But the bosses had to give in to unions and ownership interests from the state of Lower Saxony. Still, CEO Oliver Blume believes the agreement is enough to save Volkswagen.

– The agreement is an important signal for the future profitability of the Volkswagen brand, Volkswagen Commercial Vehicles and the component factories.

"With the agreed package of measures, the company has set a decisive course for the future in terms of costs, capacity and structures. We are now back in a position to successfully shape our own destiny," says Oliver Blume.

Latest

Don't miss

Lithium-ion battery kills legendary gasoline car

A 1982 Mazda RX-7 recently came within a hair...

Engine from Denmark is the world's most powerful in a street car

The Mjolner engine that will go into the new...

4,500 employees to be laid off – car brands stop production

The car group Stellantis is halting production at a...

Nissan Interstar is Van of the Year in Denmark 2025

The votes have been counted; the sister vehicles Nissan...

McLaren ready to drop special status in the automotive industry

Under director Nick Collins, McLaren will transform itself. With...
Boosted Magazine
Boosted Magazine
Boosted in Denmark has over a million unique users, surpassing two million sessions, and accumulating over seven million page views each month, and our platforms has become a hub for automotive enthusiasts. Now you can enjoy our content in English too! Enjoy our free car news - every day. Want to talk to us? Write an email to boosted@boostedmagazine.com
spot_img

BBS survives bankruptcy for the 5th time – becomes German again

The Turkish holding company ISH Group could not save BBS from bankruptcy, so now the company has been sold back to German KW Automotive....

Sales of used Teslas plummet in Denmark

The numbers only point in one direction. Namely, it is more than difficult to get rid of a used Tesla. At least without losing...

England reverses ban on petrol and diesel cars by 2030

First they said 2030, then 2035 and then 2030 again. And now neither diesel nor petrol cars will be banned in England after all....

These cars are now allowed in Denmark – a benefit for society

From January 1, 2027, Transport Minister Thomas Danielsen will allow 7-axle trucks to increase their weight by two tons. This is intended to make...

BMW's new super battery charges hybrid cars in 1 minute

The wait at the charging station is over. At least if you believe BMW's latest hybrid development. Charging time is just one minute. BMW...

Jeff Bezos behind Slate Auto: New American pickup for DKK 175,000.

New carmaker Slate will launch a $25,000 electric pickup truck in the US. Amazon founder Jeff Bezos is reportedly among the investors. Now a...

Possible winner of Trump's tariff war: Used electric cars

American car buyers are being hit by new tariffs – but used electric cars like the Tesla Model 3 and Hyundai Ioniq 5 seem...

Media: Mercedes drops 4-cylinder C63 AMG

Sales of the 4-cylinder C63 AMG are so bad that Mercedes is preparing to drop the model. The model will be offered with a...

Mazda6e gets 6-year factory warranty in Denmark

Mazda's new electric car, the Mazda6e, which is built on a Chinese platform, will receive a six-year factory warranty in Denmark, the importer says....

New bill bans all cars from having their tail lights turned off

In Sweden, the Christian Democrats have had enough of cars with their taillights turned off, so the party now wants to ban them. But...

Trump tariffs create car chaos in the US: Thousands of cars stand still

Several automakers have paused deliveries, while new tariffs from the Trump administration are creating uncertainty and car queues at US ports. The situation is...

Ford patents manual transmission for electric cars

It's just an idea. Or rather a patent. But now For has it. That is, the possibility of equipping electric cars with manual transmissions....