The German News Digest reports that Volkswagen will most probably build its new Golf sport utility vehicle (SUV) Marrakesch in the company’s plant in Wolfsburg, VW’s brand manager, Wolfgang Bernhard, said.
VW has been considering whether to assemble the Golf SUV at its Portuguese plant Palmela due to lower production costs.

If the company wants to build the new car model at Wolfsburg, the workers will have to agree to a reduction of the labour costs by 850 euro ($1,045) per vehicle. The measures might affect 1,000 employees.

The final decision on the Golf SUV production plant will be taken within the next two weeks. According to company’s insiders, the negotiating parties will try to reach a decision before the meeting of VW’s supervisory board at the end of next week.