Saturday, December 2, 2023
News Volkswagen will Build EVs for North America in Mexico Starting in 2026

Volkswagen will Build EVs for North America in Mexico Starting in 2026

Volkswagen will manufacture EVs for the North American market at its Puebla plant from 2026.

  • The German automaker currently builds the ID.4 in Tennessee for the American and Canadian markets.

  • US $760 million will be invested in the Puebla factory to produce EVs.

  • The first electric vehicle to be built there has yet to be decided.

Volkswagen has announced it will manufacture electric vehicles for the North American market in Mexico, starting in 2026.

The German automaker has assembled cars destined for the United States and Canada in Mexico for a few decades already however, at the moment, all of its electric models still come from Europe or Tennessee.

This will change in a few years since the company will be investing US $760 million in its Puebla plant in order to make it able to produce electric vehicles at scale. At the moment, this facility is responsible for the assembly of the Jetta, the Taos, and the Tiguan.

Out of this investment package, $350 million will be used to set up a new paint shop, and further investments dedicated entirely to the new EV are expected to be announced early next year.

For now, Volkswagen hasn’t decided which model will roll off the revised production line at Puebla, but this decision should come in the next 12 to 15 months, according to the boss of the automaker’s Mexican division.

This same executive says he is confident that the rate of EV adoption in the United States and Canada will continue to increase in the coming years, despite a slowdown in Europe which recently forced Volkswagen to idle a plant making some of its most affordable electric models.

Since we don’t know which product will be manufactured in Puebla, it is possible that this will be an entirely new model or one that has already been unveiled but has yet to enter production for the North American market.

If it turns out to be the latter case, this means that the first EV to be built by Volkswagen in Mexico for the U.S. and Canada could be the ID.BUZZ minivan or the upcoming ID.7 sedan.

There is also the possibility that the company will prefer to move the production of the ID.4 down to Mexico in order to make space for another vehicle in its Chattanooga, Tennessee plant, which currently manufactures the Atlas, Atlas Cross Sport, and the ID.4, the only electric VW currently on sale in North America.

More details should come in the next year or two once Volkswagen has finalized its decisions for the future of its Mexican factory.

Source: InsideEVs

Trending Now

2024 Toyota RAV4 Gains New Options for Woodland Trim, Starts From $33k

Small paint changes to 2024 RAV4 lineup Woodland grade adds some cosmetic upgrades The 2024 Toyota RAV4 is getting some new paint colours and...

HW Electro Puzzle Electric Kei Van Hits the Big Apple

Puzzle wants to be first EV LCV in America Production expected to start in 2025 A kei-sized electric van is coming to America. The...

GM Could Reverse Course, Add Hybrids to Lineup

GM may bring back hybrids to fill electric gap Slowing EV plans could make hybrids a necessity After dropping hybrids, along with almost all...

Volkswagen Planning $10.9B in Cuts as Brand “No Longer Competitive”

VW planning to reduce staffing, but other cuts coming Big cuts needed to maintain brand through EV transition Volkswagen is planning $10.9 billion in...

Hyundai Uniwheel Promises to “Change the Paradigm” of Drivelines

Uniwheel replaces differential and axles Allows for smaller electric motors, more cabin space Hyundai has just shown off a truly unique drive system. It's...


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.