Volkswagen has announced that it plans to invest an additional €22,8-billion (about R375-billion) in its factories throughout the world from 2018 to 2022.
The latest investment is set to drive the “further development of modular production, the continuation of the model offensive and further orientation towards e-mobility”.
VW says the main focus will be on Germany, which will account for investments totalling €14-billion. The Zwickau plant will benefit for a large chunk of the injection, being transformed into a “pure e-mobility facility”.
Production of the Golf and Passat at Zwickau, meanwhile, will be relocated to Wolfsburg and Emden. VW says it will invest €2,9-billion in Wolfsburg in order to “pool production” of the next-generation Golf at the plant, while a total investment of €1,1-billion in Emden will see production of the Passat family concentrated at that plant.
In addition, VW said that vehicle production plants throughout the world were preparing for the production of “further MQB vehicles”, with “ground-breaking, market-oriented SUV projects” planned for plants in Mexico, the United States, South America and Russia. VW South Africa, of course, will build the new Polo hatchback at its Uitenhage plant.
“The investment package which has now been adopted will give a decisive boost to the largest product and technology offensive in the history of the brand. It is our objective to position Volkswagen sustainably in the lead in the volume segments and to take up a leading position in e-mobility,” said Herbert Diess, Volkswagen brand CEO.
