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Volkswagen AG is nearing a decision to pick its Chattanooga, Tennessee plant over a site in Mexico to build a new seven-seater crossover vehicle for the North American market, a German newspaper reported on Thursday.

The state of Tennessee is offering tax breaks, staff training, free land and infrastructure upgrades worth about $300 million in total, giving it a clear edge over Puebla, Mexico, daily Frankfurter Allgemeine Zeitung cited company sources as saying.
VW declined to comment.



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Volkswagen To Build 7 Seat SUV At Chattanooga Assembly Plant

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