Thousands of Audi workers protest over threatened plant closure

By Frank Simon and Andreas Buerger

NECKARSULM, Germany, July 29 (Reuters) - Thousands of Audi workers demonstrated on Wednesday against the possible closure of the German automaker's Neckarsulm plant as parent Volkswagen pushes ahead with a group overhaul expected to include tens of thousands of job losses.

The protest came as rival premium carmaker BMW announced thousands of job cuts, the latest blow to employment in Germany's auto industry, where high costs, growing Chinese competition and U.S. tariffs are forcing painful restructuring.

"We are scared of factories closing and endangering our future," Audi worker Melih Cevlik said at the protest in Neckarsulm.

About 6,000 people took part, according to the works council.

CLOSURE WOULD BE 'DISASTER', LOCAL MAYOR SAYS

Workers demanded clarity from Volkswagen, whose CEO Oliver Blume has warned Neckarsulm is among four German plants that could close after 2030 if no alternative solution is found.

"The staff wants clarity because they're worried about coming to work. Many families are worried, too," Audi trainee Frank Wojko said against the din of rattles waved by protesters.

Blume has sought to avoid plant closures and floated alternatives including defence partnerships and production of Volkswagen's Chinese models, which are not currently sold in Europe, at underutilised factories in Germany.

But no decisions have been taken and the second half of the year is expected to be dominated by tense negotiations with Volkswagen's powerful labour representatives, including over a proposed doubling of job cuts to 100,000 across the group.

About 15,000 people work at the Neckarsulm site, which produces Audi's A5, A6 and A8 models and is also home to low-volume production of the all-electric Audi e-tron GT.

Alexander Reinhart, head of the site's works council, said allocating a high-volume electric vehicle to Neckarsulm could help secure its future.

Audi has been hit by falling sales in the once-lucrative Chinese market and a lack of U.S. manufacturing capacity, leaving it exposed to tariffs.

Last year, it announced plans to cut up to 7,500 jobs in Germany by 2029, mainly in administration and development.

Local mayor Steffen Hertwig warned that closing Neckarsulm would have far-reaching consequences for the southwestern state of Baden-Wuerttemberg, a traditional automaking region where Mercedes-Benz, Porsche and supplier Bosch have also come under pressure.

"It would be a disaster," Hertwig told Reuters, warning of a domino effect in the region.

(Additional reporting and writing by Rachel More. Editing by Mark Potter)