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Volkswagen to build new electric vehicle in US, Tennessee governor says

Key Points
  • Volkswagen is announcing on Monday it will build a new electric vehicle at its plant in Chattanooga, Tennessee as it shifts toward zero emission vehicles, the state's governor told Reuters.
  • "We obviously think electric vehicles are going to play a more and more prominent role," Tennessee Governor Bill Haslam said.
Robot machines weld a Volkswagen at the body shop in company's factory in Chattanooga, Tennessee.
Mark Elias | Bloomberg | Getty Images

Volkswagen is announcing on Monday it will build a new electric vehicle at its plant in Chattanooga, Tennessee as it shifts toward zero emission vehicles, the state's governor told Reuters.

The German automaker is making the announcement at the Detroit auto show and will make an unspecified additional investment and add jobs, Tennessee Governor Bill Haslam said, declining to disclose details ahead of the formal announcement.

"We obviously think electric vehicles are going to play a more and more prominent role," Haslam said who is taking part in the announcement. Volkswagen said in November it planned to assemble EVs at a plant in North America, but had not decided which one.

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Key Points
  • Rivals Toyota Motor and Renault-Nissan-Mitsubishi have not released 2018 registration figures, but the Franco-Japanese alliance sold 10.6 million cars in 2017 and racked up sales of 5.54 million cars in the first half of 2018.
  • Toyota last month released a forecast for total global sales of 10.55 million cars last year, but has yet to confirm official numbers.