VW CEO warns factory closures may drag on for weeks

Volkswagen Group CEO Herbert Diess  warned that the coronavirus crisis could pressure the corporation to…

Volkswagen Group CEO Herbert Diess  warned that the coronavirus crisis could pressure the corporation to maintain its factories shut for extended than initially prepared.

“Most of our factories are closing for two months, in some areas for 3. It is probable that these steps will previous,” Diess reported in a Linkedin put up on Saturday.

The firm’s models incorporate VW, Audi, Bentley, Bugatti, Ducati, Lamborghini, Porsche, Seat and Skoda.

“The spreading of the virus will not have come to a standstill in a number of months from now. So that we want to be prepared, to dwell with this menace for a prolonged time – right until efficient medicines or a vaccination are available,” Diess reported.

Volkswagen is taking steps to protected liquidity, its supply chains, and to go on with strategic projects this sort of as the start of the firm’s ID3 electric powered motor vehicle and the supply of battery cells, Diess also reported.

Germany’s number of verified coronavirus scenarios rose by two,705 to achieve 16,662, the Section for Infectious Disorders at the Robert Koch Institute reported on Saturday.

VW on Tuesday reported it was suspending manufacturing at factories throughout Europe.

It also reported that uncertainty about the effects of the virus meant it was unachievable to give forecasts for this year. VW also warned of a steep gain drop in the 3 months to March.