German Minister Hopes to Aid Volkswagen Amid Cost-Cutting

TapTechNews September 21, according to Reuters, German Economy Minister Robert Habeck said on Friday local time that he hopes to help Volkswagen get through the cost-cutting period and eventually avoid making the decision to close the factory.

Robert Habeck said while visiting Volkswagen's plant in Emden that he hopes to ensure that personnel policy measures remain within the normal collective bargaining framework. But he also admitted that what the German government can do to support Volkswagen is limited, and Volkswagen's business structure and viability depend on company policies. A large part of the task must be by Volkswagen itself, which is the company's job.

Robert Habeck said in an interview that politicians can provide help by improving the framework or sending the right market signals, including encouraging the shift to electric vehicles. In the past ten days, both BMW and Mercedes-Benz have downgraded their outlooks, indicating that the situation in the industry is worsening. TapTechNews learned that Habeck will hold talks with senior executives and industry representatives next Monday.

The German economy ministry spokesman said that the talks on Monday will be a virtual exchange with car companies and suppliers, with the aim of making Germany the leading market for electric vehicles.

The German government is currently closely monitoring the current situation of Volkswagen, which has nearly 300,000 employees in Germany.