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Volkswagen To End Production At German Plant, a First In Company History (nytimes.com) 43

An anonymous reader quotes a report from the New York Times: The last vehicle will roll off the assembly line at Volkswagen's plant in Dresden, Germany, on Tuesday, marking the first time in the automaker's 88-year history that it has closed a plant in its home country. Volkswagen warned of potential production cuts last year, as it faced shaky demand in Europe and China, its biggest market, as well as higher tariffs that have crimped sales in the United States.

After 24 years of vehicle production, the Dresden plant will be converted into a research hub focused on technologies like artificial intelligence, robotics and chip design. Volkswagen will team up with the government of the state of Saxony and the Dresden University of Technology on the project at the plant, known as the Transparent Factory because of its glass walls. "We did not take the decision to end vehicle production at the Transparent Factory after more than 20 years lightly," Thomas Schafer, chief executive of the Volkswagen brand, said in a statement. "From an economic perspective, however, it was absolutely necessary."

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Volkswagen To End Production At German Plant, a First In Company History

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  • China (Score:3, Informative)

    by Anonymous Coward on Tuesday December 16, 2025 @05:41PM (#65862521)
    is the new Germany
    • Re: China (Score:5, Informative)

      by shm ( 235766 ) on Tuesday December 16, 2025 @08:48PM (#65863039)

      In the early 70s my grandfather would turn his nose up at Japanese appliances. His gold standard were German products. Just the way my generation turned our noses up at Chinese goods, preferring Japanese and later Korean.

      And so it goes.

      • I still remember my father arguing with my grandfather about who had the most reliable car. Grandpa had his Series 1 VW Golf which was at the time one of the pinnacles of German reliability on the road in the small car segment and at the time Japanese cars were rubbish. Fast forward a few decades and my dad on the bought me a Toyota Corolla with 380,000km on the odometer which I sold sold with over 500,000km on it after I couldn't kill it in perfect working order. This despite the fact the timing belt was

  • by sinij ( 911942 ) on Tuesday December 16, 2025 @05:44PM (#65862527)
    This and many other highly negative consequences Germany experiencing due to high energy costs.
    • The saddest day for me was when Grundig quit making radios in Germany, those Grudig portables and Zenith TransOceanic are cool radios, both gone now, you can find used ones on eBay but I would not trust old electronics
    • Re: (Score:3, Insightful)

      by rogoshen1 ( 2922505 )

      Sheesh, if this keeps up, who's going to pay for the New Germans?? Please think of the immigrants before gutting your tax base.

    • by Anonymous Coward

      This and many other highly negative consequences Germany experiencing due to high energy costs.

      Funny that. Germany has deindustrialized itself by sanctioning Russia, refusing the cheap Russian energy they were totally dependent on, and allowing Biden's threatened "there will no longer be a Nordstream 2 , we will bring an end to it" without so much as a whimper. But no worries, they've been graciously allowed to buy very expensive LNG from the US in the meantime. Is Germany winning yet?

      • Is Germany winning yet?

        Yes they are. Unless your definition of winning is sucking on Putin's dick while he beats you. That may be fun for you if you're a worthless whore, but I don't think most people in Europe consider that "winning".

    • >"This and many other highly negative consequences Germany experiencing due to high energy costs."

      And the flood of Chinese vehicles being allowed into Europe and elsewhere (still not the USA, though).

      • by Sique ( 173459 )
        This flood is often written about, but has not materialized yet. Chinese brands are only 8% of all BEV cares in Europe as of Octoberf 2025, and BEV cars are about 20% of the total car market. And even if we include Chinese made cars for non-Chinese brands (like Tesla sells in Europe), we are at less than 20% of BEVs or 4% of the total car market.
        • by Sique ( 173459 )
          I just found the numbers for Germany for November 2025.
          • Bestselling Chinese brand is BYD with 1.7% market share.
          • Bestselling European brand of Chinese made cars is MG Roewe with 1.0% market share, followed by Tesla with 0.7%.
          • Bestselling European brand owned by a Chinese company is Volvo at 1.9% market share.
        • Oh. The media made it sound like a lot more. But it has the potential to be a LOT more and FAST if they don't slap on high tariffs or limit the numbers.

    • I'm sure it'll be fine. Nothing bad has ever happened when the German people have been under severe economic stress... And it's a good thing we aren't doing the same thing to the country with the world's largest military and the most nukes.

      But on the plus side you can say Merry Christmas now.
    • "Volkswagen warned of potential production cuts last year, as it faced shaky demand in Europe and China, its biggest market, as well as higher tariffs that have crimped sales in the United States.

      After 24 years of vehicle production, the Dresden plant will be converted into a research hub focused on technologies like artificial intelligence ..."

      Is "high energy costs" a hallucination or a troll?

      • Is "high energy costs" a hallucination or a troll?

        I'm going for "troll" although there are industries which are suffering from high energy costs - certain industrial processes require lots of power. You'll notice that AI computer centres are springing up in Germany, and if there's ever a business which should suffer from energy costs it is that one.

        VW used to have a plant in Westmoreland PA, it was active from 1978 to 1987 and they closed it because it was losing too much money. There were two main reasons it was losing money:
        1 - Ronald Reagan's administ

    • by AmiMoJo ( 196126 )

      Their energy costs are typical for Western Europe. The only ones significantly cheaper have already done what Germany is doing - installed a lot of renewables.

    • by Sique ( 173459 )
      And the main reason for high energy costs in Germany are massive investments into the grid, amounting to a planned total sum of 300 billion euros. If you include local grids, it's 700 billion euros.

      The grid investment were planned at a time, when battery storage was not viable, and is by many deemed to be excessive, as the average load of the grid is about 15% of the capacity.

      Another quirk is that German regulations are currently paying a renewable energy provider for the potential amount of energy, not

  • by mysidia ( 191772 ) on Tuesday December 16, 2025 @07:44PM (#65862881)

    All I know about Volkswagon is they're a car company who deliberately cheated on their emissions tests.

    No surprise their demand is falling away due to past outright illegal conduct.

    Their license to manufacture a single new unit should have been cancelled the day this was found out. So I don't feel sorry for them.. surprised They did not have a complete shutdown imposed by the government sooner.

    • by Luthair ( 847766 ) on Tuesday December 16, 2025 @08:48PM (#65863037)
      They weren't alone though:

      Automakers who have been caught using a defeat device within a diesel vehicle, in a similar manner to Volkswagen include: Jeep and Ram under FCA[403] (now a part of Stellantis), Opel[404] (when under GM), and Mercedes-Benz.[405]

      https://en.wikipedia.org/wiki/... [wikipedia.org]

    • No surprise their demand is falling away due to past outright illegal conduct.

      You should be surprised. People throughout Europe don't give one iota of a shit about this. For the most people people don't even remember the details of what happened, and even people who drove VWs at the time got a nice payout (all the customers saw was extra "free" money)

      VW is failing now because their cars aren't compelling, they are years behind the competition in many aspects, and because the future was seen to be electric while VW dragged their feet playing catchup pushing more and more ICE vehicles

  • by Locke2005 ( 849178 ) on Tuesday December 16, 2025 @07:46PM (#65862891)
    Can they still do "Berlin to Warsaw in one tank"?
  • In hindsight, throwing away14.4% of American customers, was probably not a smart thing.
    https://www.youtube.com/watch?... [youtube.com]
  • Maybe the AI can be more effective at faking emission tests then more of the world's people can be killed covertly whilst VW profit from dishonest and immorality - again.

  • How could the plant continue to operate after the allies bombed the shit out of it?

  • In my eyes, one of the main issues pretty much all automakers have is that they are selling cars that don't really fit what their customers actually want. Where have the small cars gone? Where have the family vans gone? Where are the simple, no frills cars? Which customer actually wants anything like automated driving, which they seem to strive for? Any features requiring some sort of subscription? Why oh why must almost every new car be a SUV?

    For VW, in the european markets, an example of a car dearly miss

    • by k3v0 ( 592611 )
      that's capitalism, the margins aren't high enough to justify selling small cars so they are no longer being created sadly.
  • The arrogant hubris and high horse riding finally turns to finding-out and it could not have affected a more deserving org than VWG.

    It seems the smoldering hole in the ground left by cariad was not lesson enough. Getting pampered by mama merkel for rampant engine-control and emission fraud was not humbling enough, instead enabled them in their f##kery.
    The arrogant, overly well paid managers turn out to be nothing but weak, clueless and antiquated; and decades of German politicians bowing to steel and automo

  • Volkswagen opened its Dresden factory, the Gläserne Manufaktur or Transparent Factory, in December 2001, with the official inauguration on 11 December 2001.

    It was conceived less as a mass-production plant and more as a prestige site, combining car assembly with architecture, public access and brand theatre.
    The first model built there was the VW Phaeton, assembled largely by hand, in full view of visitors.

    • by wwphx ( 225607 )
      My wife and I toured it ten years ago, they were still assembling Phaetons there at that time though they weren't in production that day. It was a very cool production plant, all the tools were electric, and the system was designed to lift the car or whatever was being worked on to the correct height for the worker to minimize ergonomic difficulties. I believe it was the last year for the Phaeton and it was going to be switched over to a more mass-market car.

      I'm saddened that it's no longer going to be
  • VWs invariably score poorly in Consumer Reports reliability ratings, as do most European cars. Not clear why anyone in the US would buy them over equally poor US cars, much less far better Japanese cars.

  • "the Dresden plant will be converted into a research hub focused on technologies like artificial intelligence, robotics and chip design. Volkswagen will team up with the government of the state of Saxony and the Dresden University of Technology on the project at the plant"

    After 24 years of auto production, this factory is probably obsolete in many ways. Makes sense to convert it to a research hub.

  • It is worth noting that the plant being closed is in the former DDR, East Germany. Sad to say, but there are still ramifications of the communist era there. I lived in West Germany before the wall came down, and have been back several times since. The East has gotten a lot better, but even last year when I visited, the East and West are not the same.
    One of the most striking things was seeing the support for AfD in the eastern towns I visited. Not entirely surprising considering the economic squeeze.

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