Volkswagen will move its electric SUV production away from its Chattanooga plant this month, the company announced April 9, citing slow EV demand.
“The EV market continues to challenge the industry, requiring measured decisions throughout the last few years to navigate this unpredictability,” Volkswagen officials wrote, in a news release. “As part of the focus toward higher-volume products that meet market demand, Volkswagen will no longer assemble the ID.4 in Chattanooga starting mid-April 2026.”
Despite axing the EV from production, the ID.4 will still be available for American consumers into 2027, the release states.
“The Chattanooga plant has been and will continue to be, a cornerstone of Volkswagen’s strategy in The United States,” Volkswagen Group of American President and CEO Kjell Grunder said in a statement. “This strategic shift underscored the company’s commitment to Chattanooga and its workforce as we position the plant for long-term success and future product opportunities.”
The all-new, second-generation Volkswagen Atlas now becomes the focal point of the newly unionized Chattanooga plant. Atlas production will begin in the summer and be available to consumers in the Fall 2027.
This article originally appeared on Nashville Tennessean: Volkswagen to cut production of EV model ID.4 in Tennessee