NASHVILLE, Tenn. (AP) -- German automaker Volkswagen AG is considering the introduction of a new midsize SUV for the North American market, and its existing Tennessee plant is a contender for building it.
VW CEO Martin Winterkorn told reporters in New York on Tuesday that a decision on whether to build the new model will be made soon, but probably not before the end of the year.
Winterkorn in prepared remarks lauded VW's experience in building Passat sedans at the Chattanooga plant that opened last year. He said Volkswagen expects to meet its target for the first time of selling 500,000 vehicles across all brands in the U.S. this year.
The $1 billion Chattanooga plant is expected to build 180,000 vehicles next year and has a maximum capacity of 220,000 in its current configuration.
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