VW Pauses Production at German EV Plants Amid Slow Demand, U.S. Tariff Hit

Volkswagen Group is cutting production at German factories that build VW, Audi and Cupra battery-electric cars amid slower than expected demand for EVs.

VW’s factory in Zwickau will halt production for a week starting Oct. 6, due to weak demand for the Audi Q4 E-tron. The model is being hit by U.S. tariffs and Germany’s push to soften the European Union’s ban on new combustion-engine car sales.

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Work will also be suspended at VW’s Dresden plant during the first week of the autumn holidays in October, a VW Group spokesperson said. “The company is adjusting its production schedule to the current market situation,” the spokesperson said.

VW’s Emden plant, which builds the VW ID4 and ID7, has cut back employee hours and is also expected to shut down factory lines for several days, Bloomberg reported.

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