Car manufacturer: Volkswagen opens recycling plant in Zwickau

Zwickau. Europe's largest car manufacturer Volkswagen has put a recycling plant into operation at its factory in Zwickau, Saxony. From 2030 onwards, up to 15,000 vehicles will be dismantled and recycled at the facility each year. Up to 1,000 jobs are to be secured in the long term.

“From today on we will not only be assembling cars in Zwickau, but also taking them apart again,” said Volkswagen brand boss Thomas Schäfer at the opening ceremony. “For us, dismantling and recycling does not mean scrapyard, but rather creating value.” Volkswagen will receive up to 10.7 million euros from the Free State of Saxony.

However, that is not enough to secure the location in the long term. Zwickau, once a pilot plant for electromobility together with Emden, is on the list of endangered locations. Production of the models currently manufactured in Zwickau will end in 2031, after which the future is open. The Saxon Prime Minister Michael Kretschmer has presented his own proposal with which he wants to secure the future of the plant. This envisages transferring the facility to a new company. The collective agreements, which, in the opinion of VW management, make production in Germany unprofitable, should not apply there.

Zwickau was also considered a location for the production of models developed in China. The suggestion was brought into play by VW CEO Oliver Blume, but was not pursued further. According to an insider, concerns among top management played a role in helping Chinese competitors expand into Europe.