X

Volkswagen will build a new electric-car factory in North America

The automaker intends to open the new EV plant by 2022.

Volkswagen I.D. Crozz

The all-electric I.D. Crozz is one of the vehicles that could be built at the new factory.

Volkswagen

Volkswagen's efforts to ramp up sales of electric vehicles include opening a new factory in North America that's dedicated to building EVs. Though the plant's location hasn't yet been disclosed or even decided, VW announced Thursday that the facility will open by 2022.

"There is no decision done so far," Thomas Ulbrich, Volkswagen's board member for e-mobility, told reporters here in Dresden, Germany. "We think there's a natural fit to Chattanooga, but there's no planning done so far."

He's referring there to Volkswagen's existing US manufacturing facility, in Chattanooga, Tennessee, which was inaugurated in 2011. But Ulbrich didn't deny that the EV plant could also be in Mexico.

The automaker intends to have 16 electric-car production plants globally by 2022, which will require a 34 billion euro ($40 billion) investment. Many of those facilities will be in China, of which two will be new, which will help Volkswagen avoid taxes on selling its EVs in that market. But others will be spread out across Europe and, once the new plant is built, North America.

Volkswagen already builds the electric car in plants in Wolfsburg and Dresden. Next year, it will begin converting the massive Zwickau plant in Germany from building only internal-combustion vehicles to building only all-electric ones. From the end of 2020, Zwickau will have the capacity to produce as many as 330,000 EVs per year. The first cars assembled there are expected to be VW's new I.D. hatchback and I.D. Crozz crossover.

Read more: How Volkswagen's Phaeton plant got a new life building EVs 

This is the Volkswagen I.D. Crozz EV coming to America in 2020

See all photos
Jake Holmes Reviews Editor
While studying traditional news journalism in college, Jake realized he was smitten by all things automotive and wound up with an internship at Car and Driver. That led to a career writing news, review and feature stories about all things automotive at Automobile Magazine, most recently at Motor1. When he's not driving, fixing or talking about cars, he's most often found on a bicycle.
Jake Holmes
While studying traditional news journalism in college, Jake realized he was smitten by all things automotive and wound up with an internship at Car and Driver. That led to a career writing news, review and feature stories about all things automotive at Automobile Magazine, most recently at Motor1. When he's not driving, fixing or talking about cars, he's most often found on a bicycle.

Article updated on September 20, 2018 at 6:54 AM PDT

Our Experts

Written by 
Jake Holmes
CNET staff -- not advertisers, partners or business interests -- determine how we review the products and services we cover. If you buy through our links, we may get paid. Reviews ethics statement
Jake Holmes Reviews Editor
While studying traditional news journalism in college, Jake realized he was smitten by all things automotive and wound up with an internship at Car and Driver. That led to a career writing news, review and feature stories about all things automotive at Automobile Magazine, most recently at Motor1. When he's not driving, fixing or talking about cars, he's most often found on a bicycle.
Why You Can Trust CNET
174175176177178179180+
Experts Interviewed
030405060708091011121314+
Companies Reviewed
108109110111112113+
Products Reviewed

We thoroughly evaluate each company and product we review and ensure our stories meet our high editorial standards.