Volkswagen considering production of compact car, SUV at Tennessee plant

Sketch of Volkswagen's new mid-size sedan

Volkswagen is preparing Chattanooga, Tennessee to build a new mid-size sedan that will be exclusively sold in the United States. According to Tom Loafman, the company’s purchasing director, the German automaker may also build a compact car or an SUV at the plant, in addition to the mid-size sedan.

Loafman said that Volkswagen is considering options for the plant’s second vehicle even before it starts building its first. The new mid-size sedan will go into production at Chattanooga next year.

It was reported last week that Volkswagen is considering building an engine plant in Chattanooga Tennessee. A decision on the engine plant will be made at the end of 2010.

– By: Omar Rana

Source: Automotive News (Subscription Required)