VW Says 'More And More Difficult' To Hit Budget-Car Cost Goals

Volkswagen's (VOWG_p.
DE) efforts to move into no-frills vehicles are stalling as the German carmaker is struggling to meet cost targets for its first budget car, a VW brand executive told Reuters on Tuesday.

"It's becoming more and more difficult" to hit cost targets necessary to approve production of a budget car, VW brand development chief Heinz-Jakob Neusser said.

"It makes no sense to approve a vehicle that's not meeting our targets," he said.

REUTERS