Press Mention WTVC News Channel 9 April 8, 2026
SACE Quoted
Volkswagen to stop making ID.4 models in Chattanooga this month
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Volkswagen announced it will cease ID.4 production at its Chattanooga plant in mid-April 2026, shifting focus to the 2027 Atlas model. Stan Cross, Electric Transportation Director for the Southern Alliance for Clean Energy, commented on the broader trend of vehicle electrification despite the setback for EV production at the facility. The company says all affected hourly workers will be reassigned based on seniority and union terms, with an early retirement program also offered.
I don't think there's any question that the electric horse has left the barn. Transportation will electrify.
Stan Cross
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Volkswagen to stop making ID.4 models in Chattanooga this month
by Katie Glanton
Thu, April 9, 2026 at 12:10 PM
Updated Fri, April 10, 2026 at 3:59 PM
CHATTANOOGA, Tenn. — The Volkswagen assembly plant in Chattanooga plans to shift away from production of ID.4 models in favor of focusing on producing higher demand vehicles.
The company made the announcement this afternoon, saying they will focus on launching the 2027 Atlas.
Kjell Gruner, CEO of Volkswagen Brand North America, says...
"We listened closely to our customers, to our dealers and we built an SUV designed around real life."
The new Atlas model will start to be sold in dealerships this fall.
Volkswagen says the Atlas has been one of their most important models in the U.S., and has ranked as the company's second best selling model in the last 3 years.
"We committed to US assembly bringing Atlas to life in Chattanooga, where around 4,000 team members work on this vehicle," Gruner says.
Production will shift in mid-April.
Volkswagen says all Chattanooga employees have been made aware of the decision, and all hourly team members working on the ID.4 models will be moved to other positions at the plant based on seniority and union terms.
A special early retirement program will also be offered.
"This strategic shift underscores the company's commitment to Chattanooga and its workforce as we position the plant for long-term success and future product opportunities," Gruner says.
We reached out to the United Auto Workers union for a statement on the decision. Director of the UAW Transnational Department Kevin Gotinsky says:
"Today, Volkswagen announced it will no longer produce the ID.4 due to declining sales. Thanks to UAW members fighting for layoff protections in their recently ratified collective bargaining agreement, workers at the plant aren't being left behind. All workers will remain employed while the company determines the path to the next model. A union contract is only as strong as its job security clause—and this hard-fought agreement delivers.
The International Energy Agency estimates that 25 percent of auto sales worldwide last year were EVs, but in the US electric cars only made up 7.8 percent.
Stan Cross, Electric Transportation Director for the Southern Alliance for Clean Energy, says...
"I don't think there's any question that the electric horse has left the barn. Transportation will electrify."
With the discontinued production of the ID.4 in Chattanooga, VW says their electric vehicle will only be produced in Germany.