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Seemingly realizing that it has neglected the North American market, Volkswagen is now looking to expand its product lineup in the US with at least two new models.

Volkswagen of America CEO Stefan Jacoby said that future plans include new compact model, a larger mid-sized passenger car and a new $4 billion assembly plant in Chattanooga, Tennessee.

The compact car would be built at VW’s plant in Mexico while the new mid-sized model would be produced at the new plant in the U.S. Jacoby said that the Passat is too small for the mid-sized sedan segment and that the brand would need something larger for North American drivers. VW is said to be considering bringing models such as the Polo and the Tiguan to the US.

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Vw to expand its U.S. lineup with two new models

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