It Seems Volkswagen, this time indirectly, will be making tanks again, World War 3?
Remember when a certain Austrian painter was making headlines during the second world war? Well in those days many of the most popular German automakers today were making tanks that were used in the wars and as tensions continue to build between Russia and Ukraine, it appears Volkswagen will be returning to its roots and build tanks again, indirectly, of course.
What do I mean by this? Rheinmetall CEO Armin Papperger says that Volkswagen’s Osnabrück factory could be a prime candidate for conversion to military production. For those unaware, Rheinmetall is a German defense company and it is considering a potential acquisition of the site as Volkswagen explores ways to repurpose the factory, including the possibility of a sale.
Moreover, Papperger’s comments come as Rheinmetall anticipates strong sales growth in 2025 and evaluates opportunities to expand its military manufacturing capacity. Rheinmetall, a leading European defense and ammunition manufacturer, is no stranger to repurposing automotive plants for defense production.
This aligns with Volkswagen’s recent statement that it is exploring different scenarios for the future of the Osnabrück site, including the possibility of selling the plant to mitigate restructuring costs and protect jobs. Rheinmetall’s interest in expanding its defense production capabilities reflects the broader shift in Europe’s defense industry as military spending increases in response to rising geopolitical tensions.
On top of that, the German defense sector is benefiting from the reallocation of workers from the struggling automotive industry, signaling a potential revival of Europe’s largest economy after two years of stagnation. Papperger indicated that Rheinmetall is in regular talks with Volkswagen through an existing collaboration in military truck production, though no formal plans have been established yet.
Volkswagen CEO Oliver Blume, in a recent interview, also confirmed that while there are no detailed discussions with the defense industry regarding Osnabrück, the site offers potential opportunities. Papperger also stated that Rheinmetall would carefully evaluate any potential sites for new military factories in Germany before making a final decision.
Of course, military production is going to need a well equipped location so this makes sense but this news will definitely stir the paranoia building among theorists so let’s not jump to conclusions and just wait and see what happens.
What’s more, Rheinmetall could even consider selling its entire Power Systems automotive division if it receives a competitive offer. The potential repurposing of Volkswagen’s Osnabrück factory for military production highlights a significant development in the European defense sector and could play a key role in meeting the growing demands of the military industry.
We got all this from Reuters and their full article is linked here. Thank you Reuters for the information and images.
