Volkswagen’s Brand Group Core (BGC) is overhauling its production governance by reorganising manufacturing operations into five regional production networks, a move the group says is aimed at improving efficiency, flexibility and cross-brand management.
The restructuring affects Volkswagen Passenger Cars, Škoda, Seat, Cupra and Volkswagen Commercial Vehicles, which together form the automaker’s volume-brand division. Under the new framework, 22 production locations will be managed through a regionalised model with stronger cross-brand coordination in areas such as central planning, product management, project execution and logistics.
“With our new structure of five production regions, we are positioning ourselves more efficiently and flexibly, laying the groundwork for the next generation of production,” said Thomas Schäfer, chief executive of the Volkswagen brand and head of the Brand Group Core.
Volkswagen said the first phase of implementation will take place on the Iberian Peninsula, covering Spain and Portugal, where production of forthcoming battery-electric compact vehicles is scheduled to begin. The regional model is designed to give local leadership greater operational autonomy while maintaining centralised strategic oversight.
From Jan. 1, 2026, André Kleb will take on the role of chief production officer for regional production and logistics on the Iberian Peninsula. Kleb currently heads planning and production technology at Volkswagen Passenger Cars and will report to both Christian Vollmer, the group’s board member for production and logistics, and Markus Haupt, chief executive of Seat and Cupra.
Thomas Hegel Gunther, currently managing director and plant manager at Volkswagen Autoeuropa in Palmela, Portugal, will succeed Kleb in Wolfsburg as head of planning and production technology for the Volkswagen Passenger Cars brand at the start of 2026. The Palmela plant currently produces the T-Roc and is slated to build the production version of the ID.EVERY1 electric model.
From March 2026, Anabel Andión Lomero, currently head of the pre-series centre at Seat and Cupra, will take over leadership of the Palmela plant. Volkswagen said her experience in launching the Electric Urban Car Family programme would support the site’s transition to future electric vehicle production.
Volkswagen said the regional governance shift is intended to deliver sustained improvements in competitiveness by combining cross-brand control with regional responsibility as the group navigates rising cost pressures and the transition to electrification.