Skip to main content

Tennessee is Likely Locale for Volkswagen’s New EV Factory

Last month, Volkswagen global brand head Herbert Diess said that Chattanooga would be the likely location for the company’s new electric vehicle plant. But he was also careful to specify that VW had made “no formal decision” on the matter.

While it’s always best to wait for the press release to say anything definitive, the automaker has begun posting openings for specialized positions that would relate to its upcoming MEB platform in Tennessee. Perviously, the automaker had only said it intended to build MEB vehicles at its plant in Zwickau, Germany, beginning with the I.D. hatchback model in 2019. It also mentioned it was planning a facility in China while the American site was still under consideration. 

Although, with electric vehicles still stuck in a niche market, it might not make sense for VW to establish a new worksite for them. That’s one reason Chattanooga is the likely candidate. Instead of setting up a new facility, the company could expand upon an existing one.

“Chattanooga is highly underutilized [in its current form],” Dave Sullivan, a senior analyst with AutoPacific, told Automotive News. “If VW’s plant can mimic Nissan’s Smyrna plant — building a sedan, crossover and an EV under the same roof — they will be well on their way towards increased capacity utilization.”

Presently, the 3.4-million-square-foot Tennessee plant assembles two models: the Atlas crossover and the Passat sedan. While the Atlas is expected to rake in additional sales as the global crossover craze continues, VW has witnessed Passat volume shrink in North America every year since 2013. Annual sales for the model now represent about half of their post-recession peak and don’t look like they’ll be bouncing back any time soon.

Chattanooga is also the only automobile manufacturing plant in the entire world to receive a top rating in the LEED green building certifications. Receiving a large amount of its electrical power from a nearby solar park and reusing rainwater for cooling and restrooms, the site would make a primo location for VW to continue its green initiative. Building energy-efficient cars at an energy-efficient factory sounds like just the ticket to help the world forget about that pesky diesel emissions scandal from 2015.

While the I.D. hatchback is the first electric model slated to go into production, North America may not see assembly of that particular vehicle. Instead, we’re banking on VW focusing on larger models — like the Crozz and Microbus — within the United States.

This article first appeared on thetruthaboutcars.com

The post Tennessee is Likely Locale for Volkswagen’s New EV Factory appeared first on VWVortex.



from VWVortex http://ift.tt/2B8Ptxb
via IFTTT

Comments

Popular posts from this blog

Review: Saying Goodbye to the CC V6

For all its size and its global reach, Volkswagen is still, in many ways, a deeply human company. There was, for instance, the Bugatti Veyron an ego project if ever there was one. Then the purchase of Ducati, a move most called folly. And then there was the Phaeton, the Volkswagen that most folks can’t afford. Not only were these moves all strange, I’m sure that they made VW’s accountants furious. None of them made good business sense, but they were all deeply interesting and they all are evidence of the heart that beats at the center of VW. Among these follies is the CC, a car that everyone agrees is rakishly handsome, but that no one really wanted to buy. The car couldn’t last, but the world is brighter for its having been in it. With the approach debut of the Arteon, it seems like a good time to look back on its sadly departing predecessor. The version I drove, because I live in Canada, is a V6 Wolfsburg Edition, which apparently isn’t available in the States. Nor is the V6, not as...

Mitsubishi admits it lied about MPG ratings for all vehicles in Japan

Filed under: Government/Legal , Green , Mitsubishi , Fuel Efficiency , Japan Mitsubishi says its shady fuel-economy test practices may have been used on all vehicles it sells and has sold in Japan. Continue reading Mitsubishi admits it lied about MPG ratings for all vehicles in Japan Mitsubishi admits it lied about MPG ratings for all vehicles in Japan originally appeared on Autoblog on Wed, 11 May 2016 12:36:00 EDT. Please see our terms for use of feeds . Permalink  |  Email this  |  Comments from Autoblog Volkswagen http://ift.tt/21X3bHv

More 3.0-Liter TDI Settlement Details Expected by January 31

Volkswagen and the TDI Plaintiff’s Steering Committee were in court today for another status conference following the agreement in principal reached earlier this week. Little new information was given at the conference held before Judge Charles Breyer today, but the court ordered the parties to develop a formal settlement agreement, class action notices, and a class notice plan by January 31, 2017. For now, though, owners still don’t know how much to expect in compensation. Elizabeth Cabraser, lead Counsel for the Plaintiff’s Steering Committee reaffirmed in a statement today that the compensation would be “substantial.” The potential cost to Volkswagen is widely reported to exceed $1 billion, though, with an additional $225 million going into an environmental trust to help offset excess emissions. Buy back offers are still only expected for the oldest 20,000 of the roughly 80,000 VW Group vehicles sold in America with the 3.0-liter TDI engine. Those vehicles are mostly SUVs, like ...