A model vital to Volkswagen‘s sales growth strategy in the U.S. has been delayed.
According to a recent report, Volkswagen is struggling to decide between Puebla, Mexico and Chattanooga, Tenn. because of competing financial incentives from the two regions. The state of Tennessee is in discussing tax breaks and infrastructure support with the German automaker, hoping to tempt the company to built its new model in Chattanooga.
Volkswagen is striving to boost its sales in North America and the seven-seat will play an important role in that plan. According to Reuters, Volkswagen planned to have already come to a decision by now.
At the Detroit Auto Show earlier this year, Volkswagen confirmed that a crossover model is part of the automaker’s $7 billion investment package for the North American market.
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[Source: Automotive News]
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