World Economy

Volkswagen Cuts Production

Volkswagen Cuts ProductionVolkswagen Cuts Production

Volkswagen is cutting back car production at its plant in Kaluga, Russia over weakening rouble and declining real wages. The automaker is set to lower production at Kaluga to 120,000 vehicles this year, compared with the 150,000 originally planned, German-industry magazine Automobilwoche reported this weekend, without naming sources. The Kaluga plant is responsible for making the Volkswagen Polo and Tiguan models, along with the Skoda Fabia and Octavia, according to Reuters. A Volkswagen spokesman said the automaker is temporarily reducing production volumes at Kaluga due to the economic situation in Russia.