Volkswagen has plans to expand its electric vehicle offerings in North America and is reportedly considering the Canadian province of Ontario as the location for a future battery cell plant. The details of where the new compact electric SUV, smaller than the ID.4, will be produced are not yet clear.
According to company sources, Volkswagen (VW) has decided to manufacture another electric vehicle in North America, as reported by German publication Handelsblatt. This compact SUV, smaller than the ID.4, is slated to start production in mid-decade, potentially at the Chattanooga, US plant or in Puebla, Mexico, where the ID.4 is manufactured. A VW spokesperson confirmed the plans but declined to provide further details.
Volkswagen is considering the location of its first battery cell factory in North America, with the province of Ontario being a potential site. This is according to entries in the lobby register of the Canadian province, which show the presence of VW Group, including CEO Oliver Blume, seeking exchanges with Canadian ministries on the matter.
The province of Ontario is a logical choice for the factory due to its proximity to the US, its battery material partner Umicore’s plans to open a cathode and precursor materials factory, and a memorandum of understanding signed by the former VW CEO Herbert Diess with the Canadian government on the battery supply chain and raw material hedging.
However, a Volkswagen spokesperson stated that no final decision has been made. The small electric SUV that Volkswagen plans to produce is expected to be based on the revised MEB+ platform and is likely to be manufactured at the Chattanooga facility, which already has an MEB-compatible production line for the ID.4.
