VW Eyeing US and Mexico

VW is currently weighing their sites in the US and Mexico for their soon to be electric vehicle plant. They are gearing up towards competing with Tesla Motors, General Motors and other big names in the industry. The German executives indicated last Tuesday that they are studying a Chattanooga, Tennessee location or even one in Mexico in order to serve the North American market. Currently, Volkswagen has a plant at Chattanooga though labor relations are currently rough recently. Mexico has emerged as a major manufacturing hub with regards to global auto industry with their cheaper costs and also easy access to US plants. The Volkswagen’s plant in Mexico’s Puebla state is considered the second biggest factory in the world under the said car brand. VW’s decision looms as General Motors is due in rolling out Bolt which is their fully electric vehicle. This will be release this year. Moreover, luxury EV maker Tesla is currently retooling in order to create the Tesla 3. This is considered the first mass-market vehicle will be due to release starting next year. Volkswagen is currently offering the e-Golf which has an 83 mile battery only range and also a base price of around $29,000. Furthermore, they have little success in the US with this model simply because of continuing cheap gas prices and even tough competition. As reported, VW is said to lay out a far-reaching strategy this mid June as they are aiming to become the leader in the EV market. They are also planning to roll out over more than 30 new EV models by the year 2025. Truly the arena is set for electric vehicles. Varied car makers are already revamping their manufacturing plants in order to cater to such. And we simply cannot deny it since the issues of pollution and emissions scandal. This move from VW will prove very helpful in their strategy to provide electric vehicles to their consumers. However, they are not the only ones embracing the change. There are a handful who would want to join in. Which is why putting up their plants be it in Mexico and in the US would prove helpful in realizing this strategy. We can only wait and see.
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