Volkswagen Invsting $800 Million More in Chattanooga for EV Plant

Volkswagen will expand its US manufacturing plant to allow Chattanooga to become its electric vehicles base. The announcement was made by Scott Keogh, president of VW USA, at the North American International Auto Show on Monday.

“We could not be prouder to build the future of mobility here in the U.S.,” said Keogh. “We’re known as ‘the people’s car’ for a reason, and our EVs will build on that tradition.”

The plant will include an $800 million investment and will take advantage of the supplier network that Volkswagen has already set up with its Chattanooga plant that has built the Passat since 2011 and the Atlas more recently.

The plant will be building vehicles based on Volkswagen’s upcoming MEB platform. The first EV based on the platform sold in America will be based on the I.D. Crozz concept.

The crossover can have up to an estimated 350 miles of range and will be followed by a sedan and a retro microbus-inspired van.

Which of these will be built in the US remains to be seen, but the new plant is part of Volkswagen North American strategy, which gives the market more autonomy, and more control over the vehicles it builds.

EV production is set to begin in 2022 at the site, which means that the I.D. Crozz, which set to arrive in 2020, won’t be built there.