The Spanish marque, which has 76 years of history, has belonged to Volkswagen since 1990. The group plans to phase it out and concentrate its investments on Cupra, a brand that has gained prominence in recent years and whose vehicles offer higher profitability per unit.
MARTORELL WILL REMAIN OPERATIONAL
Seat’s disappearance as a brand would not, at least for now, mean the closure of the Martorell plant. The Catalan factory would continue to produce vehicles, with Cupra as its main focus as well as models from other Volkswagen Group brands.
Seat’s future had already begun to be called into question in recent years. In 2023, Volkswagen’s then-CEO, Thomas Schäfer, said that "the future of Seat is Cupra" and suggested that the Spanish brand would stop producing cars as the sector shifted toward electrification.
RESTRUCTURING PLAN INVOLVING 50,000 JOB CUTS
The decision is part of a much broader Volkswagen plan that includes up to 50,000 job cuts worldwide and examines the future of four plants in Germany, some of which could ultimately be closed.
In Spain, the restructuring also focuses on the Martorell and Landaben plants in Pamplona, although both currently have healthy profitability levels. Seat employs more than 15,000 people and is one of the country’s leading industrial companies.
The company has said that the brand’s disappearance "has not yet been decided," although it acknowledges that the global context has changed significantly and that the automotive sector is undergoing a profound transformation. If the plan goes ahead, Seat will no longer form part of Volkswagen’s strategy for 2030.
