All Volkswagen plants are producing again – capacity utilization is still low

The car company Volkswagen has resumed production. However, due to the corona pandemic, the plants are not operating at full capacity.

Aerial picture of the main production facility in Puebla, Mexico – (photo by VW)

After a ten-week standstill in the corona crisis, all plants at VW are running again. The factory in Puebla, Mexico, finally resumed production on Tuesday, as the Wolfsburg-based company announced. This means that all 16 plants of the main VW car brand are now back online.

“The restart with priority on maximum health protection was successful”, explained production director Andreas Tostmann. “There was not a single missing part in production.” The average utilization across the plants was around 60 to 70 percent of the utilization compared to the time before the outbreak of the pandemic.

VW had stopped the production in all European factories from mid-March to protect against the corona virus. After that, the factories in other countries were closed. The locations in China had already started producing again in April, where the pandemic broke out first.

Due to the standstill, the group expects an operating loss in the second quarter, but hopes for green figures for the year as a whole. Whether this will work depends on customers, if they return to the dealers despite the fear of recession.

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