VW Decides To Build Plant in Chattanooga

Chattanooga, TN, July 15, 2008--The Chattanooga/North Georgia area, suffering from the downturn in the flooring industry, got some welcome economic news today when Volkswagen AG said it will build its first U.S. assembly plant in Chattanooga.

VW said it will invest nearly $1 billion in Chattanooga’s Enterprise South Industrial Park and create nearly 2,000 jobs.

The surging euro has made manufacturing in the U.S. far more attractive, a trend that has also emerged in the flooring industry.

Volkswagen recently moved its North American headquarters from suburban Detroit to Herndon, Va. to bring it closer to its East Coast customer base.