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Volkswagen now has to decide where to produce diesel and hybrid powertrains

Last week, Volkswagen of America announced it would build it's first US factory since it's Pennsylvania factory closed in 1984 in Chattanooga Tennessee. The new plant will build a new mid-sized replacement for the Passat. What CEO Stefan Jacoby didn't announce was where powertrains will come from. The new car will be available with gasoline, diesel and hybrid power-plants. The power-train is one of the most expensive components in the vehicle so getting the most out of building cars in the dollar zone means building them here as well. The ... Read more →

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