Volkswagen is halting production of its iconic Beetle
spans more than 300 different vehicles and variants, including heavy trucks, motorbikes and passenger cars. Cutting back on product complexity is one of the key ways the company is trimming costs and getting leaner in the wake of its diesel emissions scandal.
On Friday, Handelsblatt reported VW also plans to halt production for a week next month of the Golf at its huge factory in Wolfsburg, Germany. The model’s woes include more complex emission tests and plans to replace the current version of the hatchback. VW shares rose 0.6%to €141.62 at 9.34am in Frankfurt, giving a market value of €70 billion.
Chief executive officer Herbert Diess has been a driving force behind this slimming down since he started leading the main VW car brand in 2015.
“The market is moving on,” said John Wolkonowicz, an independent auto analyst and industry historian in Boston. “The people who wanted them, mostly baby boomer women, bought them, enjoyed them and they’re on to something else. Younger people don’t know what the point is.”
The Beetle played the starring role of Herbie in the 1968 Disney film, The Love Bug. The sentient race car sporting red, white and blue racing stripes from the front to the back bumper headlined several follow-up films and a TV series. Beetle buying in the US peaked that year at about 423,000 units sold. The car became a phenomenon again in the 1990s when VW brought it back to the US after a 20-year lapse. Last year, VW delivered just 15,166 units.