Volkswagen AG won approval from a Chattanooga government panel to add another 130,000 square feet to its $900 million factory expansion there, the Chattanooga Times Free Press reported.
The body shop expansion will add 25 percent more square footage and $18 million to the project’s cost, the Times Free Press reported.
In a bid to more than double U.S. sales to 800,000 vehicles by 2018, VW announced last summer that would expand the Chattanooga plant, which builds the Passat, and build a new crossover based on the CrossBlue concept. The investment is expected to add 2,000 jobs. Production is expected to begin in late 2016.
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