Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

VW halts Golf assembly at core plant over technical problems

Published 09/22/2016, 05:00 PM
Updated 09/22/2016, 05:10 PM
© Reuters. The logo of a Volkswagen Beetle car is seen at the "Sunshinetour 2016"

BERLIN (Reuters) - Volkswagen (DE:VOWG_p) said it will halt production of the Golf hatchback at its core Wolfsburg factory for three days starting on Friday because of technical problems at a stamping plant.

Assembly of VW's top-selling model at the carmaker's largest factory will be suspended on Friday, Monday and Tuesday after a piston rod inside the stamping plant's engine broke, the carmaker said on Thursday.

"Side parts for car body production are currently in short supply in sections of downstream vehicle construction because of this technical problem," VW said in an emailed statement.

Workers at the Wolfsburg plant, which employs 60,000 people and churns out as many as 3,800 cars per day during peak times, have been notified, the carmaker said, adding it's not clear yet when it will be able to make up for the lost shifts.

The disruptions are causing a fresh setback to operating business at Europe's largest automaker one month after a dispute with two suppliers who refused to deliver parts to Wolfsburg and other sites inflicted widespread stoppages at VW's Germany-based operations. [nL8N1B404N]

© Reuters. The logo of a Volkswagen Beetle car is seen at the "Sunshinetour 2016"

VW is also struggling to rebuild its reputation and meet billions of dollars of costs for its manipulations of diesel emissions tests uncovered one year ago in the United States.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.