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Factbox-Which Volkswagen factories in Germany could be shut down?

Published by Global Banking & Finance Review

Posted on June 26, 2026

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· Last updated: June 26, 2026

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Volkswagen Factory Closures in Germany: Details on Potential Shutdowns

Overview of Volkswagen's Potential Factory Shutdowns

June 26 (Reuters) - Carmaker Volkswagen is considering shutting down four factories in Germany, two people familiar with the matter said on Friday, as it faces mounting pressure from Chinese rivals.

The closures at Hanover, Zwickau, Emden and Audi's Neckarsulm site would put more than 45,000 jobs at risk, on top of the 50,000 cuts agreed with unions in late 2024, according to the people.

Here are details on the sites Volkswagen is considering shutting down.

Factory Profiles and Impact

Emden

History and Location

Emden is the first Volkswagen site in Lower Saxony, a region of 8 million people that is also Volkswagen's second-largest shareholder. Founded in 1964 to take advantage of its nearby seaport, the plant initially specialised in producing the Volkswagen Beetle.

Current Production

Since the end of 2024, Emden has produced exclusively electric vehicles, manufacturing models of the Volkswagen ID. series.

Workforce and Output

More than 7,700 employees work at the factory, which produced around 147,000 vehicles in 2025, compared with a population of around 50,000 in the city of Emden.

Hanover

Workforce and Historical Significance

The factory employs around 14,000 people in Lower Saxony. It is where production of the Volkswagen 'Bulli' began in 1956 and now produces the sixth and seventh-generation T-Series of the camper van, comprising vans and minivans, as well as the ID. Buzz electric van.

Additional Production Activities

Apart from vehicles, the 1.1 million square metres are also used to make heat exchangers, while the foundry produces cylinder heads and inlet manifolds for the group.

Neckarsulm

Employment and Production

The Audi site in Neckarsulm employed 15,509 people as of March 2026. It produces combustion engines, hybrid technologies and fully electric vehicles with variants of the A5, A6, A8 and e-tron GT models.

Significance to Audi

Audi considers it the birthplace of the fully electric Audi e-tron GT and has headquarters for Audi Sport GmbH there.

Zwickau

History and Transition to Electric Vehicles

Founded in 1990, the Zwickau plant has produced seven million vehicles. In June 2020, the last internal combustion engine vehicle rolled off the production line as it shifted focus to electric vehicles.

Current Models and Output

The 8,000 employees produce models such as the Volkswagen ID., the Audi Q4 e-tron and the Seat Cupra Born. The bodies for the Bentley Bentayga and the Lamborghini Urus are also manufactured there.

In 2025, 212,000 vehicles and the bodies of 10,800 cars came out of the plant.

Investment in Electric Mobility

It is the first factory in the group completely converted to electric mobility, at a cost of 1.2 billion euros ($1.37 billion).

Additional Information

($1 = 0.8765 euros)

(Reporting by Mathias de Rozario in Gdansk)

Key Takeaways

  • Volkswagen may shutter Emden, Hanover, Zwickau and Neckarsulm in a sweeping cost-cutting overhaul, risking over 45,000 jobs in Germany and up to 100,000 worldwide. (reddit.com)
  • The possible closures conflict with a December 2024 agreement with unions that banned plant shutdowns and mandatory layoffs; VW labor leaders have pledged to oppose any such moves. (investing.com)
  • Affected plants are key to VW’s electric-vehicle transition—Emden and Zwickau are EV hubs, Hanover produces commercial and electric vans, and Neckarsulm handles engines and high-end models—highlighting the scale of the proposed restructuring. (volkswagen-newsroom.com)

References

Frequently Asked Questions

Which Volkswagen factories in Germany are at risk of closure?
Volkswagen is considering closing factories in Emden, Hanover, Zwickau, and Audi's Neckarsulm site.
How many jobs are at risk due to Volkswagen's potential factory closures?
Over 45,000 jobs could be at risk if Volkswagen shuts down the four German factories.
What does the Emden Volkswagen factory produce?
The Emden factory produces exclusively electric vehicles, mainly from the Volkswagen ID. series.
Why is Volkswagen considering shutting these factories?
Volkswagen faces increasing pressure from Chinese competitors, prompting considerations of factory shutdowns for cost and strategy reasons.
What is unique about the Zwickau Volkswagen plant?
The Zwickau plant was the first in the group to fully convert to electric vehicle manufacturing, at a cost of €1.2 billion.

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