Floods in Slovenia hit production at Portuguese VW subsidiary

Madrid, Aug. 30, (dpa/GNA) – The Volkswagen plant in Portugal is planning to stop production for several weeks due to a shortage of parts caused by disastrous flooding in Slovenia.

Heavy rains in the country have severely affected a supplier of engine parts, according to an internal memo to its approximately 5,000 employees at the plant in Palmela near Lisbon, obtained by dpa.

The interruption is planned for the first half of September and will last several weeks. According to the communiqué, the VW group is “working with other suppliers to find alternatives to return to normal production in the affected plants as quickly as possible.” In addition, VW is supporting the supplier in Slovenia so that it can resume production, the memo says.

The VW subsidiary Autoeuropa describes itself as one of the largest foreign industrial investments in Portugal. The company says that in 2021, Autoeuropa accounted for 1.5% of economic output and 4% of Portugal’s goods exports. The T-Roc compact SUV has been built in Palmela since 2017.

GNA