By Kalea Hall
DETROIT, April 9 (Reuters) – Volkswagen said on Thursday it will end production of the ID.4 electric SUV out of its Tennessee plant this month, citing a challenging time for the U.S. electric vehicle market.
Automakers have scaled back or canceled production of EVs after the federal government last fall ended the use of a $7,500 tax credit toward the purchase of an EV.
* Volkswagen is shifting production at its Chattanooga,Tennessee, plant to its higher-volume gas-powered SUVs, theAtlas and Atlas Cross Sport. * The automaker will launch production this summer of aredesigned version of its Atlas midsize SUV, scheduled to go onsale in 2027. * Volkswagen is planning a future version of the ID.4 forthe North American market, but did not provide timing on itsrelease. * The current inventory of ID.4 is expected to last into2027. * ID.4 sales declined 62% year-over-year in the fourthquarter of 2025. * Volkswagen will still offer the ID. Buzz electric van inthe U.S. market.
(Reporting by Kalea Hall; Editing by Jan Harvey)