Volkswagen starts U.S. electric vehicle assembly in Tennessee

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Volkswagen began production of its first electric vehicle assembled in the United States at a Tennessee plant Tuesday.

In a news release, the German automaker said it plans to ramp up production in Chattanooga of the ID.4 electric compact SUV to 7,000 cars per month in the fourth quarter of this year, with a goal of increasing that rate next year.

The start of production comes as America's automakers take aim with electric vehicles at the largest segment of the U.S. market: modest-sized SUVs, representing about 20% of new-vehicle sales. The company says customers can expect ID.4s to be delivered as early as October. The starting manufacturer's suggested retail price price is about $41,000.

Initially, Volkswagen will offer the American-built vehicles in either rear wheel drive or all wheel drive with a 82-kilowatt-hour battery. A lower-priced version with a 62-kilowatt-hour battery and rear-wheel drive will go into production later this year.

 

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