By Edmund Chew, Automotive News Europe
Hanover, Germany — Volkswagen AG says it will cut costs by working more closely with suppliers, pooling material purchases and buying more from China.
VW-brand Chairman Wolfgang Bernhard and VW Director of Supply Francisco Javier Garcia Sanz told 150 suppliers at a meeting here that they expected to cut material costs by 10 percent.
That reduction should yield about $1210 million in savings between 2006 and 2008.
The cost-cutting program is part of the automaker’s planned $4840 million in efficiency gains in the…