Volkswagen CEO warns factory closures may stand for weeks

Volkswagen ID.3

Volkswagen CEO Herbert Diess on Saturday cautioned that the coronavirus crisis may force the automaker to keep its factories close for longer than initially planned.

“Majority of our factories are closing for two weeks, in some regions for three. It is likely that these measures will last,” Diess said on LinkedIn.

The company’s brands consists of Volkswagen, Audi, Bentley, Bugatti, Ducati, Lamborghini, Porsche, Seat and Skoda.

“The spreading of the virus will not have come to a standstill in several weeks from now. So that we need to be ready, to live with this threat for a long time – until effective medicines or a vaccination are available,” Diess stated.

Volkswagen is conducting measures to safeguard liquidity, its supply chains, and to continue with strategic projects such as the release of the company’s ID.3 electric car and the supply of battery cells.

Germany’s number of confirmed coronavirus cases increased by 2,705 to reach 16,662, the Department for Infectious Diseases at the Robert Koch Institute said on Saturday.

Until now, about 26,220 people in Germany have been confirmed as being infected with the coronavirus. The virus has killed about 111 people in the country.

Volkswagen on Tuesday stated it was suspending production at factories throughout Europe.

It also stated that uncertainty about the effect of the virus meant it was impossible to provide forecasts for this year.

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