Volkswagen is now getting more orders for electric cars than for petrol or diesel models in Germany. The surge is forcing the company to change its production plans and rethink how its factories work.
Volkswagen’s factories in Germany are facing a new challenge. For the first time, the company is getting more orders for electric cars than for petrol or diesel models at home. This shift came earlier than Volkswagen expected. Now, the company is scrambling to change its production schedules and factory routines.
The main driver is the ID. Polo, Volkswagen’s compact electric car. It has already pulled in over 40,000 orders across Europe. In Germany, demand is so high that every version is sold out. Waiting lists now stretch at least ten months, according to Automobilwoche. In Spain, the official starting price is 25,995 euros before discounts for the 116 CV version with a 37 kWh battery and a WLTP range of 334 km.
According to Tagesschau, Volkswagen plans to produce about 30,000 fewer vehicles than expected at its Wolfsburg plant this year, while Emden and Zwickau will increase output by several thousand electric cars.
Volkswagen has moved quickly. Production schedules at several plants are being rewritten. The Wolfsburg factory, which builds the Golf, Tiguan, and Tayron, has dropped planned extra shifts. Output is now expected to stay around 580,000 vehicles this year, down from the earlier target of 600,000. At the same time, electric car plants are stepping up. Emden, where the ID.7 sedan and estate are built, is adding at least two extra shifts. Zwickau is also raising output after the updated ID.3 Neo drew strong interest.
Martin Sander, Volkswagen’s head of sales, called this a “turning point” for the industry. The company had planned to ramp up its new electric range more slowly. But cheaper electric models and rising petrol and diesel prices have pushed up demand in Germany. The ID. Polo’s platform is also used by the Cupra Raval, Skoda Epiq, and Volkswagen ID. Cross. Together, these models have brought in another 60,000 orders, according to Motor1. The ID. Cross, which opens for orders in July, starts at 36,628 euros before discounts.
The ID. Polo and ID. Cross are both made in Spain, at the Martorell and Landaben plants. Meanwhile, production of the Golf will move to Mexico in 2027. This means German factories are not the main winners from the electric boom. The same pattern is showing up with other new players, like the Liux BIG, which reported earlier thousands of reservations before its Paris launch.
Industry sources cited by InsideEVs and Electrek note that for the first time, demand for Volkswagen electric vehicles in Germany has surpassed that for petrol and diesel models, prompting a reallocation of production capacity within the group. This shift also affects related models on the same platform, such as Cupra Raval and Skoda Epiq, highlighting a broader transformation across the Volkswagen Group.
But more electric sales do not mean bigger profits for Volkswagen. InsideEVs reports that the company still makes less money per electric car than from similar petrol or diesel models. Electric cars need fewer mechanical parts and less labor to build. Swapping one for the other does not keep German factories running at full speed. This problem is made worse by Volkswagen’s ongoing restructuring. The company plans to cut about 50,000 jobs and the future of four German plants is still unclear, except for a deal to turn the Osnabrück site into an armaments factory with an Israeli fund.
Volkswagen is now betting on cheaper electric cars. A smaller, more affordable electric model—possibly called the ID. up!—is expected next year, though the name is not confirmed. This could help Volkswagen’s electric range reach more buyers. For Wolfsburg, the future depends on new electric versions of the Golf and T-Roc, which are planned for the next few years.
The fast switch to electric orders in Germany marks a key moment for Volkswagen and the wider European market. The company is moving quickly to meet demand, but the change is exposing deep problems: old factories, changing labor needs, and profit gaps. How Volkswagen handles this shift will shape not just its own future, but also how fast Europe’s car industry changes.
