Volkswagen announces first ID.4 vehicles made in Chattanooga

CHATTANOOGA (WDEF) – It’s official.

Volkswagen’s Chattanooga plant is now rolling off the all-electric ID.4 compact SUV.

The ID.4 is already Volkswagen’s most popular electric vehicle, but they have all been made in Germany.

Until now.

In a release, the company said today they hope to increase production to 7,000 a month here in Chattanooga later this year.

A lower priced version with a smaller battery will go into production later this year in Chattanooga.

“We’re just starting to write a new chapter for Volkswagen in America, and it is very much an American story,” said Thomas Schäfer, Chairman of the global Volkswagen brand. “When we promised to bring Volkswagen EVs to the millions, it always included American workers building those EVs right there in Chattanooga. We couldn’t be prouder to see that vision realized today with our ID.4 electric flagship rolling off the lines. This is another milestone in Volkswagen’s ambitious electrification strategy for the U.S. market and globally.”

The final product in Chattanooga is made with materials and components from 11 states.

They include steel from Alabama and Ohio, to interior parts in Indiana and South Carolina, and electronics components in Kentucky and North Carolina. The EV battery will be supplied by SK Innovation in Georgia.

The Chattanooga plant now employs 4,000 people and hopes to add another thousand by the end of the year to meet proecution for the ID.4 and Atlas SUV family.

But Tuesday’s news comes after a tumultuous week for the international company.

Volkswagen Group removed Herbert Diess as Chairman of the Group Board of Management last week.

In fact, he was informed of the decison after flying back to Germany from the Board Meeting held here in Chattanooga last week.

Diess had already lost many responsibilities at the company last December after clashes with labor leaders and threats of layoffs.

Auto industry reports say he was now in charge of the software division.

But after it, too, struggled this year, Volkswagen owners decided to cut ties entirely.

The decision was made by the supervisory board while Diess was out of the country in Chattanooga.