published Thursday, May 29th, 2014

VW of America chief: Company needs new SUVs

  • photo
    Michael Horn, incoming President and CEO of Volkswagen of America, speaks at the North American International Auto Show in Detroit, Mich.
    Photo by Associated Press /Chattanooga Times Free Press.

Volkswagen of America chief Michael Horn has told Automotive News that new midsize and small sport utility vehicles are needed in the U.S. to spur the brand’s growth.

Horn said that the company has reached a key plateau of 400,000 annual vehicle sales in the U.S. and that when new SUVs come on line “we plan to build up from there.”

VW is said to be close to making a decision on where to assemble a new midsize SUV.

The automaker has said that Chattanooga is the front-runner to make the vehicle ahead of VW operations in Mexico.

Horn also said that its existing compact SUV, the Tiguan, is too small and that it has a higher price point because it’s imported to the U.S.

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