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Report: Volkswagen mulls building new battery plant


New battery plant as VW expands on low-emission cars

Volkswagen is contemplating on building a new battery factory as it expands on production of hybrid and electric vehicles. Like many other EV and hybrid manufacturers, the German automaker depends on external suppliers to build its batteries.

“If more than a quarter of our cars are to be electronic vehicles in the foreseeable future then we are going to need approximately 3 million batteries a year then it makes sense to build our own factory,” said Matthias Mueller, CEO of Volkswagen Auto Group, in an interview with Reuters.

According to the report, Volkswagen has also been in discussions with ride-hailing service Uber for a potential partnership. However, the company says that it would not be satisfied by simply being a mere supplier and would like to take part in the operation.

“They [Uber] saw us more in the role of a supplier. But we said: ‘Okay guys, this is a contest which we are happy to take on. We will remain in command,'” said Mueller.

With the company's possible partnership with Uber, it aims to shift towards the field of alternative transportation in order to further cater the needs of their customers today.

The company also said that they are to cut 30,000 jobs globally as part of its agreement with labor union, in exchange for a commitment to avoid forced redundancies in Germany until 2025. This came with a promised to create 9,000 new jobs in battery production, as an effort to move towards electric and self-driving vehicles.


Source: Reuters

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