Volkswagen CEO Herbert Diess will step down from his role at the automaker to be replaced by Porsche CEO Oliver Blume, it was announced Friday. The move was made following a meeting of VW’s supervisory board.
Diess joined VW in 2015 after a tenure with fellow German car maker BMW. In 2018, he was appointed CEO of the firm and led it through a tough few years that included the trial of its ‘dieselgate’ emissions scandal, and a pivot to electric vehicles.
In recent months, his tenure has come under scrutiny as he called for job cuts to increase profitability at the firm. This led to a vote of confidence in his leadership last year, which he won.
Now, the firm’s supervisory board has announced that his tenure at VW is over following a “mutual agreement.” In a statement, chairman of the supervisory board, Hans Dieter Pötsch, said:
“During his tenure as chairman of the board of management of the Volkswagen passenger cars brand and as chairman of the group board of management, Herbert Diess played a key role in advancing the transformation of the company.
“The group and its brands are viable for the future; its innovative capabilities and earning power are strengthened. Mr. Diess impressively demonstrated the speed at which and consistency with which he was able to carry out far-reaching transformation processes.
“Not only did he steer the company through extremely turbulent waters, but he also implemented a fundamentally new strategy.”
Effective September 1st, Blume will combine his new role with the position he now holds at Porsche. VW also announced that group chief financial officer Arno Antlitz will additionally assume the position of chief operating officer.