Volkswagen EV Orders Outpace Petrol and Diesel in Germany as Assembly Pivots to Spain

Volkswagen is taking more vehicle orders for electric cars than for petrol and diesel models in Germany, according to reporting by The Next Web (https://thenextweb.com/news/vw-ev-orders-germany-spain), citing Automobilwoche via InsideEVs. The reversal in consumer demand across Europe's largest auto market is prompting the carmaker to revise production schedules across several European manufacturing hubs.

The shift has triggered cutbacks at Volkswagen's primary plant in Wolfsburg. The facility, which produces internal combustion models including the Golf, Tiguan, and Tayron, cancelled planned additional shifts that were intended to increase full-year volume from 580,000 to more than 600,000 vehicles, following a drop in demand for combustion powertrains.

Meanwhile, electric vehicle manufacturing sites are taking on additional output. Volkswagen's Emden facility, which builds the ID.7, is scheduling at least two special shifts, and the Zwickau plant is increasing production for the updated ID.3 Neo. In July, both sites were reported among four German factories facing potential closure alongside Hanover and Audi's Neckarsulm facility, though Volkswagen did not confirm those reports on the record.

Volume momentum is largely driven by the Electric Urban Car Family, a group of four entry-level models built in Spain rather than Germany. The four vehicles have accumulated roughly 100,000 total orders, led by the Volkswagen ID Polo with more than 40,000 bookings. The remaining 60,000 orders are distributed across the Cupra Raval, the Skoda Epiq, and the Volkswagen ID Cross.

Volkswagen invested more than €3 billion to retool its Martorell factory and approximately €10 billion overall in electrifying its Spanish manufacturing operations. All four compact models share a single platform, which the company said reduced complexity and yielded €600 million in development savings. The ID Polo is projected to start at roughly €25,000.

The Spanish-built models also align with proposed European Union emissions rules. Measuring 4.05 meters, the ID Polo sits below the 4.2-meter threshold proposed by the European Commission for a small-car classification that would grant favorable fleet carbon accounting to EU-built vehicles. In contrast, Audi's Ingolstadt-built A2 e-tron exceeds that threshold by 12 centimeters.

The transition brings near-term margin pressure, as Volkswagen generates lower profitability on electric vehicles than on equivalent combustion cars. The order shift arrives amid an ongoing corporate restructuring, during which unconfirmed reports have pointed to potential reductions of up to 100,000 jobs across the group.