There is a shortage of engineers, in Germany.
Volkswagen said a number of its engineers had left in the wake of the ‘dieselgate’ scandal over the last three years and now the new tougher WTP emissions tests meant the company is struggling to develop engines.
Last month it announced it had acquired former BMW engine expert Markus Duesmann to head up its team, but it cannot find enough engineers to work under him.
VW CEO Herbert Diess told media this week that the company might have a new car supply shortage over coming months and also affect its new model schedules for the rest the year and into early 2019.
The tougher WLTP test sets engineering targets which are harder to meet with existing units and software and require substantial modifications in some cases.
At the same time, VW is becoming heavily engaged in developing the latest type of solid-state batteries it will need for future electric vehicles and is looking at establishing a plant in Europe, probably in Germany.
BMW and Tesla are also looking at battery production in Europe, according to media reports.
* About £35M of UK Government funding will be given to three projects selected by the Advanced Propulsion Centre to develop the next generation of low carbon power units which are working with Aston Martin, Nissan and a range of off-highway vehicles.