Volkswagen Says Scandal Wont Impact TN Plans

Volkswagen says its diesel emissions scandal won’t impact plans to add production and employment at its US Assembly plant. Relying on millions of dollars in state and local tax incentives, the German automaker is expanding its Hamilton County factory in order to make a new generation sport utility vehicle. The company expects to hire about 2,000 new workers directly and increase production by about 30 percent. Now the company’s Passat sedan is made in Chattanooga. About 2,400 work there now. Some state lawmakers say they will hold public hearings about the emissions issue—trying to determine if it will impact Tennessee operations. Last month the company admitted it used a computer program to deceive air quality regulators. The company has been ordered to recall about 500,000 vehicles sold in the US with faulty diesel engines.

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