Volkswagen will stop producing the all-electric ID.4 at its Chattanooga, Tennessee factory. The company is shifting resources to high-volume vehicles like the upcoming gas-powered Atlas SUV. U.S. customers can buy remaining ID.4 inventory until it runs out, which is expected to last into 2027. Volkswagen, like other legacy automakers, has scaled back ambitious electric vehicle plans as demand has fallen short of expectations. The loss of the federal tax credit further dampened sales. The ID.4 launched in 2020 at about $45,000 and saw mixed results, with sales peaking in 2023 before dropping sharply. Globally, Volkswagen’s EV demand is steady, but not enough to justify continued U.S. production. The company plans future models for the Chattanooga plant, focusing on high-volume vehicles designed for American consumers. VW claims a future version of the ID.4 may come to North America, but provided no timeline.
