Volkswagen Faces Profit Woes as Demand Slumps, Considers Closing Audi Plant on Lagging EV Sales

Volkswagen has lowered its forecast for operating return on sales due to weaker-than-expected demand. It is considering restructuring or closing its Audi plant in Brussels, which employs 3,000 people. This would be VW's first plant closure in over three decades. The potential closure is due to weak demand for the electric vehicle model produced there. Closing the plant could result in restructuring costs of nearly $2 billion hitting VW's profits this year. VW vehicle deliveries fell in the second quarter due to a drop in Audi sales. Audi is seen as VW's biggest challenge due to delays in renewing vehicle models compared to competitors.