
Audi's production at its plant in Neckarsulm has been disrupted after severe flooding hit the state of Baden-Wurttemberg, where the plant is located. According to a Reuters report, parts of the factory have been flooded after torrential rain hit the region. Audi has moved to mitigate the production losses as quickly as possible and has said that production was due to resume late yesterday evening (30 May) after a clear-up operation. Audi did not give any figure of expected production losses at the facility that builds 1,300 cars a day.
Significance: Audi appears to have worked hard to minimise the disruption as much as possible at the Neckarsulm after the serious flooding that hit the Baden-Wurttemberg region. The plant builds all of the company's upper segment road cars such as the A4, A5, A6, A7, and A8. In this regard, the effect on the company's deliveries should be relatively minor as all of those cars aside from the A4 are well towards the end of their model cycles and therefore will be experiencing manageable levels of demand. It remains to be seen if IHS Automotive alters its pre-existing production forecast for the plant of 270,000 units, which is exactly the tally the plant hit last year as well.