Sketch of Volkswagen's new mid-size sedan

UPDATE: The Detroit News report did not state that Volkswagen will be building an engine plant in Chattanooga Tennessee, only that a decision on the matter would be made in 2010.  No decision has been made by Volkswagen as to the whereabouts of the new plant.

According to Thomas Loafman, director of purchasing for Volkswagen Group of America, the German automaker plans on adding an engine plant in Chattanooga, Tennessee by the end of 2010. Volkswagen is currently building a new assemble plant at the location to produce a new midsize sedan primarily for the U.S. market.

The Volkswagen Chattanooga plant will begin operation next year and currently has about 900 employees. It will add about 1,100 more when production picks up.

Loafman said the automaker also continues to study whether the new U.S. plant will build Audi vehicles.

It is rumored that Volkswagen’s new midsize sedan will get hybrid and diesel variants. Volkswagen expects to sell about 100,000 units of the sedan annually.

- By: Omar Rana

Source: Detroit News


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  • Blaine Stanziana

    I am on a mission to tell the world what VW pulled in Pennsylvania , how they destroyed thousands of peoples lives who gave it their all producing 1.2 million cars from April 10th 1978 to July 14th 1988. As soon as the 10 year tax breaks ran out on top of all the other Millions and Millions Pennsylvania gave them in incentives to open this plant, they closed the doors and never looked back. They could care less about all those American people and what would happen to their lives.
    I have been contacted by major news papers wanting my story in which I am going to give to them. I will use what ever means necessary including pictures of the greatest work force assembled to produce the first foreign car on American soil, local 2055.

    The economy was much better in 1988 than it is today, but VW found a BILLION dollars in 2010 to invest into another assembly plant like candy from a store not even thinking once what they did in Pennsylvania. There were several suicides, that I know of. One thing that amazed me to this day is when VW shut down the assembly plant on November 14th 1987 for an hour to announce that they were phasing out the operations, VW officials were very concerned about sabotage, false worker compensation claims, drop in quality, etc.

    Well something did happen during the remaining 8 months of production even after the people knew their jobs were gone in July. The quality of the vehicles actually improved !! that the audits were showing less and less imperfections in the vehicles, there was absolutely no sabotage or anything of a destructive nature from the workforce, imagine that.. I think the people of Tennessee have a right to know what they are getting themselves into, and they will through me. I hope their new plant has nothing but problems for what they pulled in Pennsylvania, I hope what went around, will now come around.

    Blaine A Stanziana