Volkswagen’s Chattanooga plant expansion to generate 1,000 jobs

Volkswagen's Chattanooga factory is expected to build a five-seat version of the Atlas.
Volkswagen's Chattanooga factory is expected to build a five-seat version of the Atlas. | Contributed photo

Volkswagen is planning to expand its Chattanooga factory to accommodate and build its “Modulare E-Antriebs-Baukasten” (modular electric-drive toolkit) electric vehicle with an investment of nearly $800 million.

The plan will pave the way for the Chattanooga plant to become the North American hub for Volkswagen’s MEB and provide a projected 1,000 job opportunities in Tennessee and other parts of the U.S. At present, it has a workforce of approximately 3,500 people.

“We could not be prouder to build the future of mobility here in the United States,” Volkswagen Group of America CEO and President Scott Keogh said. “We’re known as ‘the people’s car’ for a reason, and we plan to build EVs for millions, not millionaires.”

Volkswagen anticipates selling roughly 150,000 EVs globally by 2020 and 1 million by 2025.

“The United States is one of the most important locations for us and producing electric cars in Chattanooga is a key part of our growth strategy in North America,” Volkswagen AG CEO Herbert Diess said. “Together with our ongoing investments and this increase in local production, we are strengthening the foundation for sustainable growth of the Volkswagen brand in the United States.”

The Chattanooga factory expansion is expected to build a five-seat version of the Atlas, which should be launched next year.

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