German automotive giant Volkswagen is reportedly exploring the possibility of transferring production of its electric ID.Buzz van from Hanover, Germany, to Poznań, Poland. According to German media, the company is evaluating both full and partial relocation scenarios.
These considerations were disclosed during a closed-door meeting at the Hanover plant, as reported by Hannoversche Allgemeine. A spokesperson for Volkswagen Commercial Vehicles confirmed that various scenarios are under review, though no final decision has been made.
Originally launched in 2022 as the electric successor to the iconic VW Bus, ID.Buzz has faced challenges in meeting production targets. In the first half of 2024, only 14,600 units were delivered, a 23% year-over-year increase but far short of the annual goal of 130,000 vehicles.
Volkswagen’s deliberations come amid broader cost-cutting measures aimed at saving €2 billion, including potential factory closures in Germany and wage reductions. These proposals have met resistance from the IG Metall union, which is pushing for job guarantees and alternative solutions.
The planned November meeting to finalize investment decisions within the Volkswagen Group has been delayed due to the ongoing labor dispute, leaving the future of ID.Buzz production uncertain. If the move to Poland materializes, it would align with earlier suggestions to expand production capacity outside Germany.
This potential shift underscores Volkswagen’s ongoing efforts to navigate a challenging market while balancing labor negotiations and financial targets.