VW hits gas on expansion for assembly of five-seat Atlas SUV

Staff file photo by Erin O. Smith / Volkswagen employees check items under the hood of a Passat before it is driven off the assembly line at the Chattanooga plant.

By Mike Pare May 8, 2018 3 min read

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VW hits gas on Atlas expansion

Employees at the Volkswagen assembly plant in Chattanooga celebrate production of the 700,000th VW Passat to be made since production began of the U.S. version of the vehicle in 2011.

Volkswagen employees work around vehicles as they move down the assembly line at the Volkswagen Assembly Plant Thursday, Aug. 31, 2017, in Chattanooga, Tenn.

A Volkswagen employee change his tool while working on vehicles in the assembly line at the Volkswagen Assembly Plant Thursday, Aug. 31, 2017, in Chattanooga, Tenn.

Volkswagen employees perform checks as vehicles move down the assembly line at the Volkswagen Assembly Plant Thursday, Aug. 31, 2017, in Chattanooga, Tenn. Each vehicle goes through variety of inspections before reaching the end of the assembly line.

Volkswagen is motoring ahead with the second expansion of its Chattanooga plant to assemble a five-seat Atlas sport utility vehicle.

Also, the factory on Monday marked a production milestone with the completion of the 700,000th Passat sedan assembled at the plant.

A $1.7 million contract was approved by a Chattanooga panel to buy door seal equipment for the plant’s assembly of the five-seater.

City Engineer Bill Payne told the city’s Industrial Development Board on Monday that because the doors will be different from the seven-seat Atlas SUV, the additional equipment is needed.

The contract is funded through incentive money left over in a memorandum of understanding with the city and state that was approved after VW announced it was building the seven-seater, Payne said.