November 13, 2007

Volkswagen of America to Strengthen Operations in the US

Filed under: Volkswagen News
 
Europe’s largest automaker, Volkswagen is not very pleased with its US operations. Last 2006 Volkswagen of America has sold 235,140 units but in the process lost around USD 867 million.  Automobilwoche has been able to get their hands on Volkswagen’s ‘Strategy 2018’— these are internal documents that reveal some of the company’s plans for the US in the coming years.

And now that Volkswagen of America is headed by Stefan Jacoby replacing Adrian Hallmark, the German automaker is readying itself for a US offensive accompanied by some plans of overtaking Toyota as the world’s number one automaker. Mr. Jacoby has made a target of 800,000 sales in 2018whihc is tripled the 2006 sales figures. Volkswagen plans to achieve this with the construction of an additional US plant since VW’s Mexican plant is now closing to reaching its maximum capacity especially with two new models to be built to cater to American tastes.

One of these new models is the New Compact sedan (NCS) which is slightly longer than the 4.55 m Jetta. This model will help satisfy the need of Americans for a more spacious interior. The New Compact Sedan will also be made as the basis for the next generation Jetta which is presently built in Mexico and exported to Europe. Volkswagen of America aims to build 160,000 units annually that is according to the document obtained by Automobilwoche.

The second model will be the New Medium Sedan (NMS) which is basically an entry level Passat which Volkswagen of America plans to build and sell at least 120,000 units annually.

Before the transfer of Mr. Hallmark to the German Headquarter he has emphasized the need for more American friendly cars in the current lineup. As of now there are still no word from the German automaker whether these plans are to be executed in the future but as of now the automaker has to deal with problems of which include too complex air conditioning and heating controls.

Comments »

The URI to TrackBack this entry is: http://voxbug.blogsome.com/2007/11/13/volkswagen-of-america-to-strengthen-operations-in-the-us/trackback/

No comments yet.

RSS feed for comments on this post.

Leave a comment

Line and paragraph breaks automatic, e-mail address never displayed, HTML allowed: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <code> <em> <i> <strike> <strong>



Anti-spam measure: please retype the above text into the box provided.

Get free blog up and running in minutes with Blogsome
Theme designed by Chris M