Recently, Volkswagen announced a major decision to suspend the production line of ID.
4 electric vehicles at its plant in Chattanooga, Tennessee.
As soon as the news came out, it immediately aroused widespread concern both inside and outside the industry.
It is reported that the reason for the suspension is that Volkswagen recalled nearly 100000 ID.
4 electric vehicles worldwide.
In response, Volkswagen decided to give about 200 workers at the plant a temporary leave, while the company promised to provide workers with state unemployment benefits and 80% of their basic salary to reduce the economic pressure on the workers.
Back in July 2022, when Volkswagen successfully unloaded its first ID.
4 electric car at its Chattanooga plant in Tennessee, Volkswagen said it planned to hire 1000 new employees to further expand capacity.
Just two years later, however, Volkswagen had to face a massive recall and suspension of production.
Volkswagen explained that the move is to better solve the current technical problems, but also to express a responsible attitude towards employees, dealers and consumers.
Nevertheless, Volkswagen stressed that its long-term commitment to the ID.
4 and the entire electric vehicle product line remains unchanged.
It is reported that the main reason for the large-scale recall is that there is a defect in the design of the door handle of the vehicle, which may cause moisture to seep into the internal circuit board assembly of the door handle, thus causing the safety risk of accidental opening of the door.
Volkswagen has submitted a report to the National Highway Traffic Safety Administration (NHTSA) and promised to provide free inspection services for all affected vehicles and, if necessary, replace parts and update software to completely eliminate safety risks.
Volkswagen is working closely with local dealers to find a proper solution as soon as possible to restore normal production and sales.
Despite the production stagnation and massive recalls, Volkswagen remains confident in the ID.
4 and says it remains one of the most popular electric models in the U.S. Market.
However, judging from the sales data, ID.
4 ‘s market performance does not seem to be satisfactory.
According to statistics, Volkswagen ID.
4 sales in the United States fell 28% in the first half of 2024 compared with the same period last year, selling only 11857 vehicles.
In the second quarter just past, ID.
4 sales fell 15% year-on-year to 5690 vehicles.
These figures reflect that although Volkswagen has made great efforts in the electric transformation, how to maintain its competitiveness is still a major challenge in the fierce market competition environment.
Volkswagen said the shutdown is expected to last until early next year.
During this period, the company will spare no effort to solve technical problems and actively take measures to restore consumer confidence.
At the same time, Volkswagen will continue to promote its global electrification strategy and strive to become the world’s leading electric vehicle manufacturer in the next few years.
It can be predicted that, with technological progress and the growth of market demand, the new energy vehicle industry will usher in a broader space for development, and Volkswagen as an industry giant, the future performance is undoubtedly worth looking forward to.
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