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Volkswagen to build new SUV in Tennessee plant

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Volkswagen AG (VOWG_p.DE) plans to build another new sport utility vehicle at its Chattanooga, Tennessee, plant as demand surges for larger vehicles, the German company's top U.S. executive said on Wednesday.

VW Group of America Chief Executive Officer Hinrich Woebcken told reporters at the New York auto show that the automaker planned to build a five-seat SUV in Tennessee, but he declined to say when production would begin. The news follows VW's 2014 announcement that the company would spent $900 million to build a new SUV in Tennessee.

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