The article in the German newspaper states that VW managed to make the savings through the use of common components with the current generation model, the elimination of the four-day work week and wiser material purchasing along with higher planned production volumes. According to an unnamed VW source, unlike the current model which started making money after two years, the savings will allow the German carmaker to make a profit off the new Golf as soon as it enters the market.
2009 VW Golf Will Cost €1,165 Less to Produce Than Current Model
The sixth generation VW Golf that is expected to be introduced at the Paris Motor Show this fall with sales starting in Europe at the end of the year, will cost €1,165 or about $1,830 less to produce than the current model according to a report from daily German newspaper, Frankfurter Allgemeine Zeitung (FAZ).