Vw Ag. is thinking about moving production of its Tiguan trucklet to North America. Plans for the move are being discussed by Wolfsburg management, the German magazine Wirtschaftswoche reports.
The Tiguan is currently only produced in Volkswagen’s Wolfsburg plant in North Germany.
By shifting production to the United States and using local parts suppliers, Volkswagen can guard against exchange rate fluctuations that can eat away at profits, analysts have said.
The $1 billion operation, in Chattanooga, Tenn., is expected to roll out about 150,000 copies of the German maker’s new Passat sedan by the time it gets fully up to speed next year.
The factory has been producing cars since April and Volkswagen officials took the opportunity to show off both their German-designed sedan and the plant.
Now, last year Passat was about $27.000. Now, the Us made Passat is at least $7000 less.
Question is – what price will have the Us made Tiguan?