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Coronavirus prompts VW to stop production throughout Europe

FRANKFURT — Volkswagen Group, the world's biggest carmaker, is suspending production at factories across Europe as the coronavirus pandemic hits sales and disrupts supply chains, the company said on Tuesday. The German carmaker, which owns the Audi, Bentley, Bugatti, Ducati, Lamborghini, Porsche, Seat and Skoda brands, also said that uncertainty about the fallout from coronavirus meant it was impossible to give forecasts for its performance this year. "Given the present significant deterioration in the sales situation and the heightened uncertainty regarding parts supplies to our plants, production is to be suspended in the near future at factories operated by group brands," Chief Executive Herbert Diess said on Tuesday. Volkswagen's powerful works council concluded it was not possible for workers to maintain a safe distance from each other to prevent contagion and recommended a suspension of production at its factories from Friday. Production will be halted at VW's Spanish plants, in Setubal in Portugal, Bratislava in Slovakia and at the Lamborghini and Ducati plants in Italy before the end of this week, Diess said. Most of its other German and European factories will prepare to suspend production, probably for two to three weeks, while Audi said separately it would halt output at its plants in Belgium, Germany, Hungary and Mexico. Volkswagen's vast factories in Chattanooga, Tennessee, in Puebla, Mexico, and plants in Brazil were not affected, but that would depend on how the coronavirus spreads, VW said. Volkswagen has 124 production sites worldwide of which 72 are in Europe, with 28 in Germany alone. "2020 will be a very difficult year. The coronavirus pandemic presents us with unknown operational and financial challenges. At the same time, there are concerns about sustained economic impacts," Diess said.   Production in China resumes Volkswagen Group sold 10.96 million vehicles last year, putting it ahead of Toyota based on the latest figures from the Japanese carmaker. Globally, VW employs 671,000 people and it delivered 4.86 million vehicles to European customers in 2019. Only last month the car and truck maker based in Wolfsburg, Germany, predicted that vehicle deliveries this year would match 2019 sales and forecast an operating return on sales in the range of 6.5% to 7.5%. "The spread of coronavirus is currently impacting the global economy. It is uncertain how severely or for how long this will also affect the Volkswagen Group.

Volkswagen breaks 40-year-old sales record in 2012

The last time Volkswagen moved this many vehicles in America in one year, Richard Nixon was still a President in good standing, Let It Be was a radio hit and each car wearing the VW badge boasted an air-cooled engine. That's right, with a grand total of 580,286 vehicles sold in the US last year, the VW Group has broken its own four-decades-old sales record by 2,899 vehicles.
Of that 580k total sold, 438k were Volkswagens and 139k were Audi products - increases of 35.1 percent and 18.5 percent, respectively, in year-over-year sales. The ultra-premium members of the VW group also fared well; Bentley delivered 2,315 vehicles for a 23.3-precent increase, and Lamborghini delivered 520 units for a 52.9-percent jump. Bugatti, we're told is "right on track."
Jetta (pictured) sales paced the marque with 170k models sold, and Passat also finished very strong with sales of 117k total. Tiguan also racked up its best year on file, with 31,731 models shifted.

Bentley installing 10,000 solar panels in HQ parking lot

Bentley has started construction on what it says will be the U.K.'s largest solar-powered car port at its factory headquarters in Crewe, England. When completed, the array will have a capacity of 2.7 megawatts, enough to cover 24 percent of the company's energy requirements on the site. Crews will install 10,000 solar panels in the employee car port in a project that's expected to take six months. They'll add to the 20,815-panel, 5mW rooftop solar power system that Bentley finished installing at the factory in 2013. The combined output will be enough to power the equivalent of 1,750 homes. The car port will cover 1,378 parking spaces and be installed and operated by British firm FlexiSolar, which is also designing and manufacturing the system. The new green energy system adds to plaudits in recent years for reducing its water usage at the Crewe HQ. Bentley has also been awarded the Carbon Trust Standards for carbon, water and waste. While Bentleys aren't exactly known for their fuel efficiency — the Mulsanne sedan gets a woeful 11 mpg in the city and 18 mpg on the highway — its vehicles no longer appear on the American Council for an Energy-Efficient Economy's "meanest" list of gas-guzzlers, as they once did. It also just showed its forthcoming and long-promised Bentayga plug-in hybrid in Geneva, promising 31 miles of all-electric range and a turbocharged 3.0-liter V6 paired with an electric motor. The brand is also promising a full-electric model in the near future. "We continue to focus on new initiatives that reinforce our commitment to the environment, whether this is introducing alternative powertrain technologies in future models, or our award-winning work to reduce the environmental impact of our factory," Peter Bosch, Bentley's member of the Board for Manufacturing, said in a statement. Related Video: