Volkswagen AG is shelving a plan to build a €2 billion ($2.1 billion) factory for an important new electric-car project dubbed Trinity, opting instead to make the model at its existing plant in Zwickau.
(Bloomberg) — Volkswagen AG is shelving a plan to build a €2 billion ($2.1 billion) factory for an important new electric-car project dubbed Trinity, opting instead to make the model at its existing plant in Zwickau.
The decision is part of a broader move to allocate production of new electric vehicles across its facilities, as the carmaker’s namesake brand takes steps to finalize its five-year financial planning round expected in November.
VW’s 20-member supervisory board on Friday approved the decisions, which included a plan to build the all-electric version of its popular Golf model at its main factory in Wolfsburg, the company said Friday. The plant in Osnabrueck will continue assembling Porsche models, including an electric model from the sports-car brand.
The decision to assign Golf production to Wolfsburg comes as the brand pushes through savings measures demanded by Chief Executive Officer Oliver Blume. High demand anticipated for the model bolsters the argument to keep staffing levels high as a union-secured job security package runs out in 2029.
Volkswagen Commercial Vehicles is due to build a new family of electric models on the forthcoming scalable EV undercarriage planned for the end of the decade.
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