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Audi Considers Future of Troubled Belgian Plant

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  • Audi’s Brussels plant faces high operating costs and declining sales, prompting Volkswagen to lower its annual forecast.
  • The plant currently produces only the aging Q8 e-tron electric SUV, with logistical challenges limiting expansion possibilities.
  • Employee representatives demand a sustainable future for the plant and its 3,000 workers, as layoffs loom.

Ingolstadt, August 23 (FFN)The future of Audi’s plant in Brussels is under scrutiny due to its high operating costs and the declining sales of the single model it produces, the Q8 e-tron electric SUV. The plant’s challenges have led its parent company, Volkswagen, to reduce its annual forecast, given the high costs associated with either closing the facility or repurposing it for alternative uses, according to a report by DPA.

The plant, which employs 3,000 workers, faces significant logistical challenges, including its location amidst a residential area, a railway line, and a highway, which complicates any potential expansion. Additionally, the plant lacks its own press shop, further increasing operational costs compared to other locations, noted company manager Thomas Kretz during a meeting with employees on Friday.

Audi declined to comment on reports from Belgian media suggesting that 1,500 employees could lose their jobs in October, with another 1,100 layoffs possible by May next year. The company stated that consultations with social partners are ongoing, and constructive solutions are being sought to address the situation.


IssueDetails
Current ProductionQ8 e-tron electric SUV
Employment3,000 workers
Potential Layoffs1,500 in October 2024, 1,100 in May 2025
ChallengesHigh operational costs, limited expansion possibilities due to location
Volkswagen’s ActionLowered annual forecast
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