VW reaches deal with suppliers to resume production

German car giant Volkswagen said on Tuesday it had reached a deal with suppliers to begin deliveries again after a stoppage that forced the group to halt production at several plants.

"The affected sites are preparing step-by-step to resume production," VW said in a statement.

VW and suppliers Cartrim and ES Guss -- which make seat covers and gearbox parts -- had returned to talks on Monday after negotiations into the small hours of Saturday yielded no results.

The VW statement added that both parties had agreed to keep details of the agreement secret.

Without a deal, VW had warned on Monday, around 28,000 workers at the six plants affected would have seen shifts cut.

Some had already lost hours since deliveries of the vital parts had been interrupted.