German Handelsblatt: Auto industry: VW expects failures due to Slovenia flood007529

Volkswagen

A flood in Slovenia could lead to production problems at VW.

(Photo: Bloomberg)

Because of the floods in Slovenia, Volkswagen is now also threatened with production losses in Germany. A spokesman for the German Press Agency said on Wednesday that the reason was a supplier of engine parts that was affected by the flooding and is currently only able to deliver to a limited extent. “With the help of our global supplier network, the availability of components has so far been secured,” says the spokesman. “However, in the course of September it is to be expected that not all component and vehicle plants will be able to be adequately supplied, so production losses are to be expected.”
The group left open which locations will be specifically affected. However, the problem affects several locations of the volume brands where combustion engines are installed. The Portuguese VW plant in Palmela near Lisbon announced on Tuesday that it would stop production for a few weeks from September because engine parts from Slovenia were missing.

“All departments of Volkswagen AG are working intensively to keep the possible effects to a minimum,” said the spokesman. In addition, VW is supporting the supplier in Slovenia so that it can resume production. “We are working flat out to fully resume production at this facility. In addition, the Volkswagen Group is supporting the on-site clean-up work with specialist staff.”
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