Volkswagen CEO tells German workers Tesla factory will threaten jobs

The lack of chips forced VW to slash output at the sprawling Wolfsburg factory that's about as big as Monaco to the lowest level since the end of the 1950ies

Volkswagen AG Chief Executive Officer Herbert Diess urged German workers to prepare for a deeper overhaul to remain competitive when Tesla Inc. ramps up vehicle production at its first European factory outside Berlin next year.

Tesla is swiftly improving built quality and looks set to achieve a production time of just 10 hours per car at its Gruenheide plant, Diess said Thursday in a prepared speech at a staff meeting in Wolfsburg. VW’s main electric-car factory in Zwickau needs more than 30 hours per vehicle, which should be reduced to 20 hours next year. 

“Yes, I’m worried about Wolfsburg,” Diess told workers