Volkswagen has just announced a gargantuan $7.1 billion investment in the North American region to boost its product between now and 2027.

And the investment will be a big part of the shift to all-electric vehicles for the brand such as the new Volkswagen Electric Bus.

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While the brands are separating their EV and ICE vehicle assembly, Volkswagen is bucking the trend by locally integrating the two.

Adding New Vehicles Including The Volkswagen Electric Bus

There’s no doubt that the most anticipated vehicle to come out of Volkswagen in decades is the new ID.Buzz. It manages to be both modern and retro at the same time and looks like it’ll be more practical than ever before.

It’s just the tip of the iceberg when it comes to EV development though. Volkswagen says that more than half of its cars will be all-electric by 2030.

That change has already begun with the ID.4. After the Volkswagen Electric Bus is released in 2024, more models will follow by 2026.

Volkswagen Electric Bus assembly line ID.4 and worker

Volkswagen amps up US EV production

Making A Big Commitment To North America

At the moment, more than 90 percent of the vehicles that Volkswagen sells in America are built in North America. That includes the Atlas, the Tiguan, and the Taos. This new investment will only grow that footprint.

“American ingenuity and manufacturing know-how are at the heart of our strategy for growth, and thousands of men and women are working hard every day throughout North America to bring the Volkswagen brand to life for consumers,” said Scott Keogh, President, and CEO, Volkswagen Group of America, Inc.

“This profound commitment to our localized capabilities will transform Volkswagen into one of the leading EV brands known for its commitment to innovation, quality, and the communities we call home,” he continued.

Software And Batteries A Key Focus

Vehicles like the new Volkswagen Electric Bus will have the benefit of enjoying over-the-air updates.

VW plans to develop digital and software solutions right here in the USA. That type of capability has already benefitted the ID.4 so we’re excited to see how VW uses it in the future.

In addition, Volkswagen has invested $2.7 billion in North American supplier relationships. Perhaps most integral of those are ones directly related to battery cell production. Not only will those partnerships lower costs but they will also allow VW to control production rates better.

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