Volkswagen suspends the development of the new electric-powered Golf due to a lack of funds

Volkswagen has suspended the development of the new electric Golf due to financial constraints, as revealed in an internal memo. The decision, made by Thomas Schaefer, reflects the company's struggle to meet cost-cutting targets, falling short by approximately 300 million euros. Production was initially set to begin in 2030 at the Wolfsburg plant, alongside an electric version of the T-Roc. Meanwhile, traditional Golf production will continue in Mexico starting in 2027. The company reported a significant loss of 5.9 billion euros in Q3, prompting plans to cut around 100,000 jobs, leading to tensions with the IG Metall union. Additionally, the announcement of a $4 billion investment in Audi's U.S. plant has sparked employee outrage, with calls for the brand leader's resignation.