Most manufacturers see SUVs as one way of further increasing sales due to their seemingly increasing demand. To meet this ever growing demand in South America, Volkswagen has announced that they will be introducing a new SUV in the region.
Volkswagen is currently preparing their ‘largest product offensive in the South American region.’ To do so, they will be investing more than $653 million US in its Pachecco plant in Argentina for the production of a new SUV. The still unnamed SUV is expected to roll out in 2020 and will be delivered from the plant to all over South America.
Regarding the SUV, Volkswagen has kept their lips shut about the vehicle’s details. They did say however that the new vehicle will be built on a localized version of their Modular Transverse Toolkit (MQB) platform. Furthermore, it will be made to appeal to the local customer base in the South American region.
Apart from the upcoming SUV, new vehicles will be rolled out to the South American region by the end of the decade. The new SUV is only one of 20 new cars set to be rolled out by the end of the decade, which includes a new pickup line together with other locally assembled SUVs.
As for why Volkswagen has chosen South America, they believe that the region together with Argentina, plays a very important role in the growth of the Volkswagen brand. Apart from sales of the new SUV, it is also expected to create some 2,500 jobs, which would further their momentum in South America.
It is still uncertain whether the upcoming SUV built for the South American region will be offered elsewhere.