New VW Crossover to Be Built in Chattanooga

Stephen Elmer
by Stephen Elmer

We know that a new seven-seat crossover is on its way from Volkswagen, and now it seems that the mystery of where it will be built has been solved.

According to Reuters, VW is nearing a decision to choose its plant in Chattanooga, Tennessee to build the crossover, rather than the company’s new facility in Puebla, Mexico.

Tennessee is offering a lot of incentives to make sure that VW chooses the state, including tax breaks, free land and infrastructure upgrades worth up to $300 million.

SEE ALSO: Seven-seat Crossover from VW Coming to America in 2016

An attempt to save falling sales in North America, the new crossover should launch sometime next year as a 2016 model. The brand has already offered us a glimpse of the new crossover with the CrossBlue Concept (picture above), which was motivated by a plug-in hybrid diesel power train.

Volkswagen’s U.S. deliveries fell by seven percent in 2013 as a push into the midsize car market didn’t pay off. The new crossover, which may be only be sold in North America, is showing VW’s commitment to the North American market.

[Source: Reuters]

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Stephen Elmer
Stephen Elmer

Stephen covers all of the day-to-day events of the industry as the News Editor at AutoGuide, along with being the AG truck expert. His truck knowledge comes from working long days on the woodlot with pickups and driving straight trucks professionally. When not at his desk, Steve can be found playing his bass or riding his snowmobile or Sea-Doo. Find Stephen on <A title="@Selmer07 on Twitter" href="">Twitter</A> and <A title="Stephen on Google+" href="">Google+</A>

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