Volkswagen AG, the German automaker, which is on a quest to become the world leader in car recently started building its first U.S. assembly plant in thirty years. Located near Chattanooga, Tennessee, the new plant will produce up to 150,000 midsize cars a year when production begins in 2011, indicating a renewed commitment to the company for the U.S. market. Volkswagen had operated a plant in Pennsylvania, a facility of the company closed in early 1980.
To build the first wall
Volkswagen marked time digging dirt, but building a wall, which symbolizes the commitment of car manufacturers in the region, and the start of construction for the assembly plant. Situated on 1580 hectares, will be joined by an assembly plant body shop paint shop, and business offices.The the carmaker says it will invest $ 1 billion factory and employs 2,000 people directly. A result of its investment, an independent study, will global powerhouse an extra $ 12 billion, and income growth of more than 9500 indirect jobs during the life of the project. This is good news for Chattanooga, which has seen its share of pain downturn in recent years.
All new models of medium-sized
The model is designed for installation of Chattanooga has not been announced, but VW said it will be a midsize sedan designed specifically for the U.S. market. This means that the car could share its platform with an existing model, the Jetta, but has a completely different conception of the body. Volkswagen wants to launch a car that is better equipped to compete in the market ultra-competitive midsize car, and therefore the model of expertise ready to fight against the Toyota Camry, Honda Accord, Chevy Malibu and Ford Fusion, the current leaders this segment.
In 2008, Volkswagen announced its strategy for the U.S. market. In 2018, the automaker wants to triple its U.S. sales, including sales of other models sold by Audi, the luxury car division. This search was overly optimistic when it was announced, but given the collapse of Chrysler and General Motors pension aimed at VW could be feasible. Audi does not build a car in the States right now, but with factory space is available, Volkswagen could make a purchase and get a plant up and running quickly.
Volkswagen is currently the third largest in the world, but is expected to pass GM in sales this year may surpass Toyota in 2010.
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