VW Begins Ramp-Up for Car Dismantling in Zwickau

Automaker Volkswagen is ramping up the mass dismantling of used cars in Zwickau. The company reports that the conversion and approval processes were completed in just nine months—three months ahead of schedule. The plan for 2027 is to dismantle 4,100 vehicles from various Group brands in a two-shift operation. According to earlier statements, this number will gradually increase to up to 15,000 cars by 2030. The number of jobs in this segment is also expected to grow from an initial 100 to up to 1,000.

On the one hand, vehicles will be remanufactured, the company said. On the other hand, original vehicle parts would be recovered and distributed through retailers and repair shops. These include, for example, doors, fenders, wheels, headlights, transmission components, and engines. In addition, raw materials—such as plastics—will be recycled for use in new cars. This is because the EU mandates that, in the future, a portion of the plastic used in new vehicles must come from recycled material. 

Investments of up to 90 million euros

The company plans to invest up to 90 million euros in the new circular economy center at its Zwickau site. The funds will go toward the renovation, technical equipment, and artificial intelligence applications. Saxony is supporting the project with up to 10.7 million euros.

The Zwickau auto plant, which currently employs around 8,000 people, was already a pioneer within the Volkswagen Group in the transition to electric mobility. The last internal-combustion engine vehicle rolled off the assembly line there in 2020; since then, the plant has been fully dedicated to producing electric vehicles for the Volkswagen, Audi, and Cupra brands. However, along with Emden, Hanover, and Neckarsulm, it is one of the four German locations of VW and Audi where the future of car production is currently uncertain.