15.03.2025 08:50
The German automotive company Volkswagen is preparing to take an active role in the defense industry by making a new agreement with the German government. The company is expected to produce military vehicles and logistics support systems. Volkswagen's CEO stated that this initiative will play a critical role not only in terms of workforce and technology but also for Germany's security.
The German automotive giant Volkswagen is preparing to take a significant step towards the defense industry. Under a new agreement with the German government, the company is set to begin the production of military equipment.
Volkswagen's move is seen in parallel with the changes in Europe's security policies and Germany's increasing defense spending. As part of the agreement, the company is expected to produce military vehicles and logistics support systems.
Previously operating in the automotive sector, Volkswagen was indirectly involved in the defense industry through its subsidiaries such as Traton Group and MAN. With the new strategy, the company plans to take a more active role in the military sector.
This step, taken in line with Germany's goals to strengthen its defense industry, could allow Volkswagen to expand its production capacity and open a new chapter in the sector. Official details regarding this new initiative are expected to be announced in the coming days.
"IT WILL ALSO PLAY A CRITICAL ROLE FOR GERMANY'S SECURITY"
Volkswagen's CEO stated, "This step is an important opportunity for our company to diversify our extensive production capacity and serve the community. Our contribution to the defense sector will play a critical role not only in terms of workforce and technology but also for Germany's security."
This new initiative will increase the automotive giant's responsibility in the field of national security while also providing significant momentum towards the company's sustainable growth goals.
IT WILL CAUSE A STIR IN EUROPE
It is stated that the German government is taking strategic steps to support the defense industry with this new agreement and aims to promote domestic production. This new step by Volkswagen towards military production activities is expected to resonate not only in Germany but also across Europe.
DECLINE IN THE AUTOMOTIVE SECTOR AND TRANSITION TO MILITARY PRODUCTION
According to analyses by military experts, considering that car exports in Germany have halved from the peak level before the COVID-19 pandemic, automotive factories can utilize their capacity. According to the European Automobile Manufacturers Association, the number of new cars sold across the European Union has dropped from 15.1 million in 2019 to 10.6 million.
Germany's annual car exports have also significantly decreased, halving to 1.2 million due to competition from China. China is now the world's largest car exporter.
In response to the increasing demand, many large manufacturers, such as Rheinmetall and KNDS Group, have begun to convert their automotive parts factories into military equipment production facilities.