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Volkswagen will expand its Chattanooga, Tennessee plant to cater for electric vehicle production. The $800 million project will allow the automaker to build future EVs on its MEB modular platform, helping it to reach its goal of selling one million EVs globally by 2025.

“The US is one of the most important locations for us and producing electric cars in Chattanooga is a key part of our growth strategy in North America,” Herbert Diess, Volkswagen CEO, said in a statement.

The plant which currently builds the VW Passat and Atlas, will soon start producing the ID Crozz electric crossover and the retro-inspired ID Buzz microbus. By 2022, VW also plans to open eight additional MEB production locations around the world, showing its commitment to an electrified future.

The first VW EV on the MEB platform will be the ID hatchback, which will begin production in Germany by the end of 2019 for the European market.

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