With electric vehicles taking over the automobile market, Volkswagen plans to build a battery pack plant. Expansion in Electric vehicle production at the plant is to start on Wednesday.
Volkswagen has announced on Wednesday that it will bring in a battery pack assembling unit in Chattanooga, Tennesse to aid in its manufacture of electric vehicles. The $800 million expansion will start on Wednesday, says the company
With electric vehicles dominating the sector, there are a number of battery-operated vehicles springing up across various countries. Demand for EV’s has gone up substantially in recent times, especially as consumers are moving away from diesel.
“This is a big moment for us”, says Volkswagen Group President and CEO Scott Keogh. He states that expansion through local production will help in the company’s sustainable growth in the United States through ongoing investments. It will also serve to strengthen the Volkswagen brand in the United States.
Volkswagen produces Atlas SUV as well as Passat Sedan at its Chattanooga factory. Electric vehicles will come into being at this factory from 2022. Already there are 3,800 people working in this plant. The company plans to bring in additional 1,000 jobs through this expansion.
In Germany, Volkswagen has started production of its ID.3 vehicles at its Zwickau factory. Production of MEB vehicles will start soon at eight of its locations.
By 2023, Volkswagen plans to bring in digital service and electric vehicles across various countries. It plans to invest around $50 billion towards this through 2023.
Volkswagen was involved in an emission scandal, which rocked investor confidence in the company. The company shares fell more than 2 percent, the biggest fall in 10 years. Now Volkswagen is making a big push in the electric vehicle sector.
The company expects to sell about 150,000 electric vehicles next year across its various locations in the world. By 2025, it intends to sell 1 million vehicles.