Volkswagen explores restructuring amidst European autoproduction overcapacity

VW Group plans to halve its model lineup as part of an upcoming restructure where it aims to cut costs by 20% and to keep the group competitive in a shifting automotive industry. Although an initial proposal to close production facilities as part of the restructure was rejected by the board, it has been reported that four facilities in Germany remain under consideration for closure due to high costs. The four sites, all of which produce electric vehicles (EVs), include an Audi site in Neckarsulm, as well as Volkswagen plants in Zwickau, Emden and Hanover.