Volkswagen’s chief executive officer Oliver Blume announced Tuesday that the German automaker will slash its manufacturing capacity by an additional one million vehicles annually, according to an interview published in Manager Magazin, a business publication.
“On the one hand, we’re investing heavily in products. At the same time, we’ve already taken extensive measures. We’re currently looking at cutting a further million units of capacity to reflect the global market situation,” Blume stated during the interview.
The latest reduction brings Volkswagen’s total planned capacity cuts to three million vehicles, with the company targeting annual global production of nine million cars down from its original capacity of 12 million units, according to the CEO’s comments.
