Chattanooga Escapes Volkswagen Cuts

Frankfurt, Germany (WDEF) – Automotive News reports on Monday that Chattanooga was spared in the latest rounds of Volkswagen cuts.

Last Week, the board cut its global spending plans for the coming year by more than $1 billion dollars.

That includes a design studio in Germany and production of a high end electric car.

Automotive News reports that the spending axe could hit North America, just south of the border.

Their sources say that a new paint shop at the Mexican VW plant is on hold.

But the same sources say that the company’s $600 million investment in Chattanooga is safe.

The next round of budget cuts come early next year when the board meets again.