VW plans $40M parts warehouse, distribution center in Tenn.

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Ellen Mitchell
Automotive News
March 13, 2012 - 1:32 pm ET

Volkswagen Group of America said it will invest $40 million to build a warehouse in Roane County, Tenn., to distribute domestic auto parts for the Passat sedan made at VW's plant in Chattanooga.

The 400,000-square-foot warehouse is expected to open by spring 2013 and employ up to 45 people by 2016, according to VW.

It will open as a redistribution center to service warehouses and will later expand to include a parts distribution center, the company said.

VW said it will support operations in the United States, Canada and Mexico and the parts distribution operation will improve service parts delivery times to more than 100 dealerships in the surrounding region.

You can reach Ellen Mitchell at emitchell@crain.com.

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