Volkswagen has paused production of its ID. Buzz and Multivan people movers amid what the German automaker calls “immense competition”, but the move is not expected to have any impact in Australia.
Production of both models has been stopped for four days at the Hanover plant in Germany, where both vehicles are produced for all markets including Australia, and is scheduled to recommence on Friday, October 24.
As reported by Automotive News, Volkswagen told German press agency, the DPA (Deutsche Presse-Agentur), that the decision to pause production enables it to “flexibly adapt production processes to changed market conditions”.
“We expect intense competition in the markets to continue in the coming months and are working consistently with our sales partners to improve our market position,” the company told DPA.
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Production of the electric ID. Buzz people mover and delivery van kicked off in mid-2022 at the Hanover factory, which has an annual capacity of 130,000 vehicles.
Globally, annual ID. Buzz sales were around 30,000 in both 2023 and 2024. Volkswagen Australia received its first shipments in August 2024, and between January and September this year it sold 445 examples across both the ID. Buzz and ID. Buzz Cargo versions, which is less than the 100 sales per month it forecast.
Earlier this month Volkswagen Australia announced price cuts of more than $8000 for the ID. Buzz until December 31, 2025, and told CarExpert it had “solid incoming stock”.
Local sales of the 2.0-litre diesel-powered Multivan are down 51.7 per cent this year to September.
While there are also offers on its small Caddy and large Crafter van models, Volkswagen Australia currently has no advertised deals on the Multivan.
Volkswagen Australia is calling 2025 the ‘year of the van’ and says that by the end of this year it will have a van range that’s “unprecedented in the market”. So far this year it has launched the all-new ID. Buzz Pro/GTX/Cargo, new T7 Multivan, updated Caddy, and facelifted Crafter.
Next month it will release the new T7 Transporter mid-size commercial van – initially in diesel and EV forms, followed by a PHEV version in the third quarter of 2026 – and the new Caravelle people mover, before the Multivan PHEV arrives in early 2026. The Caddy eHybrid is under consideration for local release.
Originally due on sale in Australian in 2024, the T7 range includes Multivan, Caravelle and Transporter, though the Multivan is now built on the Volkswagen Group’s MQB passenger car platform instead of a commercial chassis. The Caravelle and Transporter share a platform with the Ford Transit Custom van and Tourneo people mover, and are built by Ford. The ID. Buzz range, like all of VW’s electric ID models, is based on a dedicated-EV platform called MEB.
Automotive News said Volkswagen plans to increase consumer incentives and conduct more aggressive marketing activities to boost sales of its commercial vehicle models.
The news comes as the company reduces production hours and production capacity at European plants where Volkswagen Group electric models such as the Audi Q4 e-tron, Volkswagen ID.4 and Cupra Born are made.
In February 2025, the German auto giant closed its Brussels plant in Belgium, where the Audi Q8 e-tron was produced and 3000 staff were employed.
The Volkswagen Group also plans to shut its Osnabrueck plant in Germany (around 90 minutes’ drive west of the Hanover plant), where the Volkswagen T-Roc and Porsche Boxster/Cayman are produced, in December.