Assembly of the Volkswagen ID4 has officially started in the United States. Volkswagen’s Chattanooga, Tennessee plant, which opened in 2011, currently builds the Atlas and Atlas Cross Sport in that facility. From 2011 to 2022, it assembled the North American market Passat midsize sedan. The ID4 essentially replaces that model and started production this month.
Currently the Volkswagen Group’s most popular vehicle, the company already delivered over 190,000 units of the ID4 globally since 2021. It aims to ramp up production in Chattanooga to 7,000 vehicles per month later this year. Eventually, Volkswagen aims to continue increasing the total output through 2023. 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.”
Production of the ID4 in Tennessee is part of an $800 million investment in the facility. This infusion got the plant ready for electrified vehicles. It included dedicated facilities for vehicle and battery pack assembly. It’s also the sixth Volkswagen plant to produce battery-electric vehicles.
Volkswagen ID4: Locally Sourced Components and a New Variant
ID4s assembled in the United States get components mainly from the region. These include several states for steel, electronic components, and interior parts. Additionally, the battery comes from SK Innovation, which makes the pack in Georgia. In total, Volkswagen invested $2.7 billion to launch ID4 production in North America. As a result, it helped create over 3,000 new jobs in the U.S. on the supplier side. The Chattanooga assembly plant also organized 75,000 working hours of workforce training on EVs and high-voltage systems.
Along with the start of production in the U.S., the Volkswagen ID4 gets a new version for 2023. A smaller 62-kWh battery pack option joins the lineup but only in a single-motor configuration. It slots below the larger 82-kWh unit, which you can get in single- or dual-motor layouts. Eventually, Volkswagen’s EV lineup will initially consist of three vehicles. The second model, the ID Buzz, arrives in 2024 alongside a fastback sedan previewed by ID Aero Concept. New electric SUVs join the lineup starting in 2026. By 2030, Volkswagen aims to make 55 percent of U.S. sales consist of EVs.