VW making $17.7 million expansion to Chattanooga plant's warehouse

VW making $17.7 million expansion to Chattanooga plant's warehouse

November 27th, 2013 by Mike Pare in Local - Breaking News

Factory workers perform diagnostics on a Passat before it is taken through a dyanometer in the assembly section of the Chattanooga Volkswagen Plant.

Photo by Doug Strickland/Times Free Press.

Volkswagen is making a $17.7 million expansion to the Chattanooga plant's assembly shop parts warehouse.

The warehouse extension, slated for completion by August 2014, will add 198,400 square feet, giving VW about 303,000 square feet of space.

"By extending our warehousing capacity inside the plant, we are streamlining our logistics operations, making the production of the Passat even more efficient," said Frank Fischer, the factory's chief executive.

By extending the warehouse building in the assembly shop, Volkswagen will eliminate the need for two current external staging warehouses.

The expansion will add 14 dock doors for parts delivery with the option to add 20 loading docks in future, according to VW.