The large disparity between the value of the Euro and the U.S. dollar has given European automakers incentive to build plants Stateside. VW has been looking for the location of its next North American plant, and it appears as though we'll have an answer by July 8. Tennessee and Alabama are said to be the two major candidates for the $788 million facility, which could come online as soon as 2011 and produce 300,000 units per year by 2018. Word from Auto Motor Und Sport is that Michigan is completely out of the picture, and considering the state's history with the UAW and Volkswagen's white collar exit from the mitten, the news isn't all that surprising, though certainly disappointing for the depressed state. There is no word at this point which vehicles VW is planning to build at the new plant, though the German automaker will likely creately a flexible manufacturing facility that can build several vehicles on one line.
[Source: Automotive News, sub. req'd]

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