Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

Automaker Volkswagen has resumed production at its Wolfsberg plant in Germany with reduced capacity and longer cycle times on April 27. The company’s Zwickau plant was the first to resume production in Germany. Production units were shuttered since mid-March to comply with COVID-19 lockdown measures. Though production has resumed, Volkswagen is following mandated measures like social distancing and temperature checks as Germany follows a phased resumption method. 


The company stated that around 2,600 suppliers have also resumed production in Germany to serve Volkswagen’s main plant. In Europe, demand for cars has been slow and additional momentum is needed to escalate it which could push production in turn, according to the company’s latest press release. 


The company’s Wolfsburg plant is likely to produce around 1400 vehicles in a week after recommencement of the plant. After the multi shift operation restarts, production will be ramped up to over 6,000 vehicles in the following week. This represents around 40pc of pre-COVID-19 production level. In Germany, 70pc of dealerships have reopened for businesses.


Production ramp up is in line with the availability of parts amid COVID-19 situation, the government requirements in Germany and Europe and development of market sales, according to the company’s statement. 

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