DETROIT: Volkswagen AG said on Monday it is investing US$800 million to build a new electric vehicle at its plant in Chattanooga, Tennessee, as it shifts toward zero-emission vehicles.
The German automaker, in an announcement at the Detroit Auto Show, said it is adding 1,000 new jobs and electric vehicle production in Tennessee will begin in 2022. German automakers have been under pressure from US President Donald Trump to increase their investments in the United States.
“We obviously think electric vehicles are going to play a more and more prominent role,” said Tennessee Governor Bill Haslam, who took part in the announcement.
Volkswagen said in November it planned to assemble electric vehicles at a plant in North America, but had not decided which one.