Volkswagen will offer a five-passenger version of its seven-passenger Atlas mid-size SUV and will build both vehicles at its Chattanooga, Tenn. assembly plant, the automaker has announced.
Volkswagen will show a concept version of the vehicle at the New York International Auto Show later this month. It will be based on VW's MQB platform that underpins many of its vehicles.
"The Atlas has built strong momentum for Volkswagen in the SUV segment, and we are excited to grow our SUV portfolio with this new, Chattanooga-assembled five-passenger SUV," said Hinrich J. Woebcken, president and chief executive of Volkswagen Group of America.
Volkswagen is investing about $340 million to bring the vehicle to market. The company has already said it will spend $900 million to expand the plant to produce the Atlas. Plant workers also make the Passat at the facility.