Bosch is reviewing the future of its electric vehicle engine plant in Germany due to uncertain economic conditions. In a recent meeting, Bosch CEO Stefan Hartung announced that options such as reducing production capacity or shutting down completely are on the table to maintain the plant’s competitiveness.
Bosch to decide on electric motor factory
For years, Bosch has operated a factory in Hildesheim, Germany, producing drive motors for electric vehicles. But CEO Hartung said it is difficult to predict demand trends in the industry over the next five years, and this uncertainty is affecting the company’s production strategies.
The CEO warned that unsustainable factories could face a “new situation”. “The closure of engine plants in northern Germany and new layoffs are not ruled out,” he said.
Workers in the automotive sector may be at risk, with new warnings from European representatives causing concern.
Bosch is struggling with low demand in many business areas, especially in automotive technology. The company expects sales to rise by 8 percent to 91.6 billion euros next year, with a profit margin of 5 percent. Still, the future of the Hildesheim plant remains uncertain.
The German giant also announced that it will negotiate with employees to increase competitiveness. However, CEO Hartung emphasized that the final decision on the fate of the plant has not yet been taken. Negotiations with unions will play a critical role in determining the fate of the factory and its employees.
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