Saxon Minister for Economics, Dirk Panter (SPD), has proposed bringing Chinese electric vehicle manufacturers into the production of the Volkswagen plant in Zwickau. According to “Bild” the aim of this move is to secure the site and maintain local jobs. Panter argued that it would be better to further develop VW’s industrial expertise in Saxony and secure the production rather than struggle for a lost cause and forfeit economic value. He stated, “We must adapt to the times. Therefore, China represents an opportunity for Zwickau”.
Specifically, the Minister suggested a joint venture between Volkswagen and a Chinese manufacturer. Such a partnership could utilize one or more production lines that are currently underutilized, enabling the production of vehicles in Saxony. However, Panter emphasized that clear European rules and standards must be prerequisites for any such arrangement. He asserted that “our measure is not ideology, but industrial future capability and secure jobs at VW in Saxony”.
The Zwickau plant was converted into a purely electric vehicle factory in 2019. However, demand for the ID models produced there has recently fallen short of expectations. In recent years, shifts have been cut and production has been curtailed. Furthermore, Volkswagen temporarily halted the planned integration of the site into the Volkswagen AG on January 1, 2027. Consequently, concerns regarding the factory’s future are growing in the region. Approximately 10,000 employees work directly at Zwickau, with about another 30,000 jobs relying indirectly on the site.
Panter highlighted the increasing importance of Chinese manufacturers within electric mobility. “China is today no longer just a developing country in many areas of e-mobility; it is a technological and industrial leader and an innovation driver” he added.
