September 21, 2024
Vice Chancellor of Germany: Volkswagen must solve most of its problems on its own thumbnail
Economy

Vice Chancellor of Germany: Volkswagen must solve most of its problems on its own

The German auto giant Volkswagen (VW), which in early September announced plans to close one or two of its factories in Germany, can count on political, but not financial, support from the federal government.”, — write: www.epravda.com.ua

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The German auto giant Volkswagen (VW), which in early September announced plans to close one or two of its factories in Germany, can count on political, but not financial, support from the federal government.

German Vice-Chancellor Robert Habek, Minister of Economy and Climate Protection, stated this during a visit to the VW plant in Emden, writes DW.

“Volkswagen has to solve most of its tasks on its own,” Habek said.

But, according to him, politicians should check “whether they are sending signals to the market correctly and whether they can make them clearer.”

Commenting on VW’s problem with weak demand for electric cars, the minister said measures had already been agreed to stimulate demand in the sector, including reduced taxes on company cars with electric engines, as well as preferential depreciation terms for electric cars in commercial use.

“Now all these measures must be implemented,” Habek added.

Commenting on media reports about the threat of large-scale cuts at VW, he noted that he could not confirm the reported figures.

At the same time, Habek urged the management of the concern not to close the factories, but added that “it cannot interfere in its policy regarding the planning of the number of jobs.”

In Emden, the minister also spoke with representatives of the metallurgical industry workers’ union IG Metall, who held a demonstration on the territory of the Volkswagen plant with a call to save jobs.

“I feel I have to do something,” he said.

We will remind:

German car manufacturer Volkswagen is considering closing a plant for the first time in the company’s 87 years of existence.

Volkswagen has abandoned a number of labor agreements, including a job guarantee until 2029, raising the possibility of layoffs starting in 2024.

Read more: Made in Germany no longer works: why Volkswagen is forced to close factories

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