Thursday, 26 May 2022 13:57

Volkswagen Looking at U.S. Sites for New Factory to Build Scout EVs

Written by Dan Mihalascu, InsideEVs


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Volkswagen Group plans to build electric pickups and SUVs under the Scout brand at a new production site in the U.S.

The announcement was made May 25 by CEO Herbert Diess on the sidelines of the World Economic Forum in Davos, Switzerland, Reuters reported. The executive acknowledged VW is assessing "brownfield sites and some greenfield locations."


Separately, Volkswagen Group CFO Arno Antlitz said the company does not rule out an eventual share listing for the Scout brand. However, he added it was too soon to discuss such a decision.


The carmaker plans to expand its presence in the U.S. market in both the passenger and commercial vehicle segments, and the Scout electric SUVs and pickups will play an important role in that strategy. Volkswagen Group plans to invest $7.5 billion over the next five years to expand its U.S. product line, including the addition of an electric pickup truck, Antlitz said.


VW U.S. dealers were caught off guard by the plans to set up a separate and independent Scout unit, as the automaker did not commit to selling its future rugged EVs through existing dealerships.


Two days after the May 11 official announcement, VW of America sales and marketing boss Andrew Savvas sent a letter to the brand's 650 dealers telling them Scout will be an independent brand within the group and they will have no claim on its products.


Understandably, dealers suspect Volkswagen might be looking to adopt Tesla's direct sales model for Scout EVs or set up new franchises that would bypass them. 


Their growing concern led dealers to demand answers from VW head honchos through...

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