VW extends contract of brand CEO Schäfer

Thomas Schäfer will remain Brand CEO of Volkswagen Passenger Cars until 2030. The Supervisory Board extended his contract by five years - and wants to tackle the upcoming challenges of the shift to electric mobility together with Schäfer.

Image: Volkswagen

When asked by the German Press Agency (DPA), a VW spokesperson confirmed the contract extension until 2030. Schäfer had moved from his post as Skoda CEO to Wolfsburg in mid-2022—as the successor to Ralf Brandstätter, whom VW had sent to China. Schäfer’s original contract was for three years and would have expired in mid-2025. With the early extension of five years, Volkswagen is trying to create consistency in management.

As head of Skoda, Schäfer expanded the brand’s target group while controlling costs. He faces the same challenge in Wolfsburg: Schäfer and Group CEO Oliver Blume stand for cost reductions. He wants to significantly improve the returns of the core brand, which is weak in this respect, with an efficiency programme.

In the transition to electric mobility, Schäfer initially had to build on the work of his predecessors and inherited the current MEB model range. He can set the first accents with the series version of the ID.2all. The basic version of the small electric car for 25,000 euros is aimed at new groups of buyers for VW and fulfils the often repeated demand for an affordable electric car from a German manufacturer.

However, this is not without risk: cooperation with Renault for the ID.1, which would probably have lowered the costs, did not materialise – and according to reports from Renault, VW was the one to end the talks. At the same time, the Stellantis Group is already launching electric cars for just over 23,000 euros. Even the former profit generator, China, is causing more concern than confidence at VW. Chinese customers have other wishes when it comes to electric cars. VW is seeking its salvation in cooperation, for example, with Xpeng – although in this case, Schäfer is also dependent on the work of China CEO Brandstätter.

automobilwoche.de (in German)


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